Tuesday, 20 December 2011

Gold now bearish, SIlver more bearish! 2011-12-20.

OK, it's been 4 weeks since the last p[ost by me. I couldn't believeit was so long. During that time, gold has done nothing positive, silvee has done nothing positive.

Gold reached a breakout point at $1760 on its pennant formation and then completely broke down and smashed down right out of the pennant by a long way. Silver went under $30.

Interestingly, on the Point & Firgure chart on silver on http://www.stockcharts.com/, the PO (Price Objective) on the chart for silver swiched right from $46.0 to $22.00 in an instant! Take a look!

http://stockcharts.com/freecharts/gallery.html?$SILVER

Gold's smash down from the potentially bullish pennant was a bit of a shock and it just cratered below $1600. Europe is a mess.

While the EU is a mess that dollar index moved above 80 to 81+. Imagine what might happen to gold and silve if the USDX goes up to 90 as it did in 2008. They will get SLAUGHTERED.

Just an opinion, remember I am a useless trader. No advice is intended or implied in this post. This is just commentary.

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