Advertise | Bookmark | Contact Us | E-Mail List |  | Update Page | UraniumSeek.com 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page 

 GoldSeek.com >> News >> Story  Disclaimer 
 
Latest Headlines

Gold Seeker Closing Report: Gold and Silver Give Back Fridayís Gains
By: Chris Mullen, Gold Seeker Report

Operation Twist By Another Name and Method?
By: Gary Tanashian

SWOT Analysis: Gold Bounced Back After Attempts to Knock Down Price
By: Frank Holmes

Hyperinflation in Zimbabwe Ė Itís back, but maybe not for long
By: JP Koning

Gold Versus Bitcoin: The Pro-Gold Argument Takes Shape
By: John Rubino

Inflation and Counterfeit Credit
By: Keith Weiner

Gold's Interesting Day
By: Rick Ackerman

Two Scenarios, One Strategy
By: Gary Savage

Zinc One Files a Technical Report on Scotia Property
By: Zinc One Resources Inc.

Money and Markets Infographic Shows Silver Most Undervalued Asset
By: GoldCore

 
Search

GoldSeek Web

 
The Safety Of Gold


 -- Published: Sunday, 26 January 2014 | Print  | Disqus 

By Warren Bevan

A bad week for markets as Thursday and Friday saw heavy heavy selling and we have now broken a very bearish pattern in the index charts which Iíve talked about here for the past week or so.

          We could have a ways to go in this general correction but we are due for a bounce that should come Monday.

          Bounces in a downtrend are general sharp and large.

          Another tip-off to the correction was the movement into large paying dividend stocks which we began feeding into late in the week and Iím looking for more this weekend.  So far the best one pays 23% annually.

          As for gold, it had a nice week and continues to move away from its double bottom and should act as a safe haven now.  Miners are also doing well but they will not hold up in the face of a major market correction so there is no huge rush to moving into those yet.

          Letís take a look at where we are in the precious metals charts this weekend.

 

          Gold had a nice week ending up 0.86% but more importantly breaking some major resistance levels.

          Gold broke its long downtrend line late in the week on heavy volume which means this should work and not be another failed breakout.

          We have some resistance at $1,280 but the base we are breaking out of is much more likely to see us move to $1,300 before we see any rest of more than a few days.

          Gold is leading silver here as Iíve mentioned I thought would happen with silver not moving well at all yet but it should soon catch up to gold.

          All in all, great stuff in 2014 and just what I was hoping for.

 

          Silver was lower by 2.68% but does look good here.

          With gold moving and leading silver we should soon see it breakout.

          Silver looks really nice here with a solid base and we look to be very near a breakout of this large downtrend line very soon.

          We should breakout now within three days.

 

          Platinum fell 1.92% after running into resistance at the $1,480 area.

          Not great action at all here.

          Platinum broke out last week but once it hit resistance if backed off on heavy volume and has now fallen back below the breakout level on heavy volume again.

          We could see a move back to $1,400 here if we canít hold $1,420.

          Just because something breaks out doesnít mean itís all system go.

          The action can quickly reverse and if large volume accompanies that then itís time to check out of your positions first and ask question later.

          There is no need to take undue risks and if something is really going to work it will just work and not make you second guess your trade.

 

          Palladium also saw a failed breakout on heavy volume and ended the week 1.93% lower.

          If we canít hold here at $735 then the moving average cluster will provide strong support at $725.

          Under that and $710 is the next support level.

          With markets now in a confirmed correction mode there is no real telling where metals will go but the fact that traders donít have profits in gold on the long side does give me a strong view that gold will not be sold here.

          Back in 2007 there were large profits in gold and when the markets broke, everything was sold and gold was no exception.

          This time around we should see gold act as a safe haven for money and rise perhaps a bit quicker than Iíd been looking or hoping for.

          We are definitely in for some fun in the market and stocks now as we should see up to a 10% correction in the S&P 500 and other markets.

          Some of the fastest and largest cash Iíve made has been shorting stocks and also taking advantage of the large but short-lived dead-cat bounces we see in major corrections.

          This past week we saw stops being taken out and I gradually was moving out of stocks accordingly and by Friday I didnít have much left and wasnít keen on the action we were seeing.

          Luckily we didnít get hurt here and now Iíll be looking for some good shorts in the week and weeks ahead.

          Good market correction last a couple months before they build buyable bases.

          We should see a few days of rest or moves higher before we see great shorting opportunities so being patient and very selective now is key to survival and prosperity.

          Enjoy your weekend and the fireworks to come.

          Thank you very much for reading.

          Warren

          In my free, nearly weekly newsletter I include many links and charts which cannot always be viewed through sites which publish my work.  If you are having difficulties viewing them please sign up in the right margin for free at http://www.wizzentrading.com or send an email to warren@wizzentrading.com with ďsubscribeĒ as the subject and receive the newsletter directly in your inbox, links and all.  If you would like to subscribe and see what my portfolio consists of please see here.

If you found this information useful, or informative please pass it on to your friends or family. 

Free Service

          The free weekly newsletter ďWizzen TradingĒ does not purport to be a financial recommendation service, nor do we profess to be a professional advisement service.  Any action taken as a result of reading ďWizzen TradingĒ is solely the responsibility of the reader.  We recommend seeking professional financial advice and performing your own due diligence before acting on any information received through ďWizzen TradingĒ.


| Digg This Article
 -- Published: Sunday, 26 January 2014 | E-Mail  | Print  | Source: GoldSeek.com

comments powered by Disqus



 



Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to GoldSeek.com

 news.goldseek.com >> Story

E-mail Page  | Print  | Disclaimer 


© 1995 - 2017



GoldSeek.com Supports Kiva.org

© GoldSeek.com, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of GoldSeek.com and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on GoldSeek.com. This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer

The views contained here may not represent the views of GoldSeek.com, its affiliates or advertisers. GoldSeek.com makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of GoldSeek.com, is strictly prohibited. In no event shall GoldSeek.com or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.