I think we could see a short-term pullback in gold, which would be a great opportunity to add to long positions.
Let’s look at the charts. First, the daily chart of gold …
And now the weekly chart …
I gave my Red-Hot Global Small-Caps subs a more detailed analysis. Here’s an excerpt …
The interesting thing about gold recently is that it has been moving in tandem with the U.S. dollar and opposite the euro. This is the reverse of how we expect it to move. This is probably happening because European investors are getting scared that their currency is in serious trouble, and when they get scared, they run for the safety of the two other global currencies — the U.S. dollar being one, and gold being the other.
That’s all for now. Keep your eye on silver, too.
Related Posts
- Gold Kicks Butt Longer Term (12/01/08)
- Gold Chart — Brace for Pullback (09/27/09)
- Is Gold Poised for a Pullback? (01/06/09)
- Could Gold Pullback Give You a Golden Opportunity? (10/16/09)
- 2 Charts and News on Gold and Silver (10/22/09)
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