Finally, after a waiting period of 2.5 years and three stop losses, gold and silver has finally broken into uptrend. In my previous post on 11th February 2016, I wrote, “(1) the up move in gold looks like a no brainer. (2) Target for gold stays at 1900+ levels and it will surprise everyone on the way up. (3) Once gold breaks and sustains above 1250 there should be no looking back.”
Since then, gold faced stiff resistance at around 1260$
-1285$ level. Finally it took BREXIT to push gold to break the resistance and
move up. If we look at the current chart of gold it had broken out of long
consolidation pattern and the current breakout for gold should be very bullish.
Gold may again face a resistance at around 1400 levels but I expect gold will
break out of that as well.
Silver as expected has moved up much more sharply compared
to Gold. In the current leg silver has moved up by more than 40%
If we look at the given chart of silver it is forming a
beautiful inverse head and shoulder pattern and this breakout in silver will
take silver to 25$ and higher.
Summary:-
1.
We have started a long term bull market in gold
and silver.
2.
We have seen bottom prices in most of the commodities.
3.
Gold and silver will shock everyone on the way
up.
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