The metals continue their blast higher this morning, as $1700 gold and $31 silver are now imminent and acting as magnets pulling the metals higher.
Gold is up another $20 to $1675 (capped at it’s daily 1% gain allotment by the cartel), and silver is up nearly another 3% to $30.86.
Silver took out significant upside psychological and technical resistance at $30 yesterday like it was not even there. In electronic access market trading Wednesday, silver touched $30, backed down only to $29.89, and then shot right back to and through $30, and has since put some distance between itself and the round number.
$30 will now provide massive support for silver, expect massive buying to appear on any dips or corrections back towards the $30 level.
Perhaps more significantly, silver has now cleared its 9 month downtrend line from it’s top prior to the leap-day Massacre on Feb 29th at $37.50, confirming the breakout!
Both gold and silver have also cleared their 200 day moving averages, which is another massive technical indicator likely to bring those on the sidelines back into the market on the long side.
Gold showing massive strength as $1700 is acting like a magnet. Expect massive physical buying of gold on any dip back to $1650 .