A week ago I shared that Gold looks to have created a “flat/double top.” (see post here) In that post I shared that due to the pattern at hand, I wasn’t comfortable with owning Gold/GLD or Silver at these prices.
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Below is an update a week later…
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Not a ton has happened in the past week, after the prior post, yet the potential for a key reversal day with a large upside wick at (3) looks to have taken place. As shared in the chart, Gold remains close to the top of its trading range and very well could have created a “double top” at line (2). Due to this situation, GLD isn’t something that I would like to own at this time.
Side notes… Key resistance in Crude Oil still looks to be in place. With this in mind, I would suggest harvesting oil if long and for those that want to score on defense to do so with an upside stop. (see post here)
