Nevertheless, we see the potential for a countermovement to come to the market, as it is now very oversold in the short term. If this counter-move remains below the last high at $ 1768, better still below $ 1731, it would be confirmation of the high. We would then take the opportunity to shorten the market. Our primary expectation remains that gold is about to expand to a striking high.
Enough time to react
If this correction goes down to at least $ 1340- $ 1400, it will most likely not expire in a few weeks, but will last until around August or September. Because of the current volatility and speed, I lean far out of the window as far as the period is concerned, but that’s our forecast.
This high is also pending for the SPDR® Gold Shares (NYSE: GLD). In order to get a first clear confirmation, we want to see the price drop below $ 156. Until this is not the case, a further return is not excluded for the GLD. In total, the downward movement, with counter-movement, remains the primary expectation. As soon as there is a clear confirmation, we will set a short here, this also applies to silver.