The Trend Continues to Dominate

Gold Price Trends and Analysis

Weekly Chart: Is Gold Headed to $3000?

The trend to the upside remains solid. Look at the stair-step move up in the past few weeks. $3000 is the next target on the upside.

There are warnings to the downside in the form of negative divergences across all indicators. But only a close below $2800 would signal a possible top is in place.

Daily Chart: Overbought Signals and Market Strength

An extreme overbought RSI. An overbought MACD Line that appears to be turning down. Then there is the MACD Histogram already turning south. All somewhat bearish, but until $2800 is taken out and we get a lower low, the upward trend remains dominant.

4-Hour Chart: Momentum Indicators and Market Signals

The negative divergences across the board finally caused a correction, but all the momentum indicators are turning up again, which suggests another higher high, perhaps $3000 or more.

SENTIMENT is coming off the boil. Letting a little out of the tires allows for another pop.

Positioning and Market Behavior

The Banks are record short. This doesn’t mean they can’t get even more short, but it does suggest a peak sooner rather than later, unless of course the LBMA and COMEX collapse, which is a low probability but a possibility.

SILVER Price Today

Weekly Chart: Key Support and Resistance Levels

Negative divergences caught the top in Silver and now the momentum indicators are still heading lower. But we don’t have a lower low in Silver yet. $29.15 is weekly support. Until then, the trend remains up.

Daily Chart: Bullish Sentiment and Market Trends

Negative divergence piling up for almost a year now on the daily chart. The 50-day moving average has broken the 100-day moving average, but both are still ascending. Only a close below $30 would signal trouble.

4-Hour Chart: Short-Term Price Targets

The RSI and both MACDs have dropped, but they are turning up now. $33.33 is the resistance to break. On the other side, $31.65 is key support.

SENTIMENT in Silver remains very bullish, but it could go a little higher still.

Silver Market Positioning and Smart Money vs. Dumb Money

Although the Banks continue to increase their net short position—by 18% last week alone—they are still well below the recent highs, which means Silver could go much higher.

Of interest is the fact that the so-called “dumb money” increased their net long position by 40% in one week. This is usually a warning sign of at least a short-term pullback.

Gold and Silver Market Fundamentals

This goes for both Gold and Silver. The Fed just said they are in no hurry to cut interest rates, which is typically bearish for the metals. Meanwhile, the Chinese continue to ramp up their purchases of precious metals.

Then there is the issue of tariffs. If they are implemented on Gold- and Silver-producing countries—excluding China, which doesn’t export Gold—then that also drives prices higher. However, if there are no tariffs on precious metals, that would be bearish.

Conclusion: Gold and Silver Market Outlook

Unfortunately, the story remains the same. As long as the upward trend continues, it is your friend. In order for this to change, we first need a lower low. That would be a drop below $2800 in Gold and $31.65 in Silver. Until then, the pathway is up.

Buy gold and buy silver today to secure your financial future.