Gold now up $37 on the day
Gold has been struggling below $1950 for the past two days but has climbed above it in the past hour. Silver is also at a session high, up 8.3% and above $27.00.
It’s clear on the chart how $1950 had been resistance in gold in the past two days but has now broken through. The one thing I would caution is that we just had a US sale of 30-year bonds with a higher-than-anticipated yield. That trade has had an inverse correlation with yields.
I think gold remains one of the best trades of the coming decade and it can likely fight its way back to $2000 here, but some consolidation below the record highs is due.