UPDATED I: Will Gold Breach $1,400 – More Importantly, Will It Hold?
Will Gold Breach $1,400 – More Importantly, Will It Hold? by Rory for The Daily Coin
UPDATED I – 7:57am EST: We see the bullion banking cabal is very interested in the next level of “round numbers”, the $1,400 mark. Just as we suspected this level will probably be fiercely defended, especially before the end of the day. From the cabal’s perspective it would be tragic to see a $1,400 handle going into the weekend providing much optimism for the bullish crowd.
Gold serves a couple of different purposes and from the banking cabal’s side of the fence one of those purposes is to signal to the world the health of economies and provide an overall measure of well being for global activity. If gold is steadily climbing this means economies and overall well being are not in good shape. If it climbs quickly, as it has over the past few days, well, this even worse. So, the perception must be managed – just like the DJIA (stock markets) image must be managed.
Once again it may be well to keep a watch on the charts as the day progresses to see if there are any major gyrations, which I don’t believe we’re going to see anything like last Friday, but more of a managed approach to keep gold BELOW the $1,400 mark. Something as little $5-6 would do the trick, but don’t be surprised to see gold finish in $1,375 – 1,380 range or slightly lower. I doubt gold will fall $20-$25 today, but it could. It seems like the fight is going to be around the $1,400 mark, which will make for a shallow dip below that very important line on the chart
The charts closer to the bottom are static and give you an idea where all this started, while these two charts are live and will continually change.
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The past two weeks gold has been on a tear that can not be denied even though the bullion banking cabal has tried and tried to slow-the-roll, they have failed. The bulls have proven to be winning the last few rounds. We have been calling for much higher gold for almost two years and we identified this time as the launch pad.
From here we identified a target north of $1,669 and once this target is convincingly breached the charts would never move below this mark – $1,670 would, in fact, be the new low, just as $1,050 has been the low we have been watching since December 2015.
As of 10:22pm EST on Thursday June 20, 2019 we are seeing gold and silver both moving to higher ground fueled by two major pieces of info – the first was the Fed changing directions on the “forward guidance” and the fact the Middle East is on the verge of erupting involving the U.S., Iran and a host of other nations in some type of conflict.
Related: Gold Will Move Much Higher in 2018
The Eastern, Hong Kong market, has been driving the metals higher over night and the day traders (London and New York) have simply supported their efforts. This has been the pattern the past few days. We are seeing some incredible action in the Hong Kong market followed by muted, almost nonexistent action in the London and New York markets.
As can be seen both metals are fighting for higher ground and gold has breached $1,400 but it’s a weak breakthrough – it needs to shot up past $1,410 and hold on for the “pit” to open in the morning or ideally it would be great for gold to close above the $1,410 mark on Friday. I think that’s just dreaming at this point, but, anything’s possible.
Silver’s move above the $15.50 mark was a seriously weak effort. It would be awesome to see silver climb to $15.60 and hold tight for the pit to open and then move north from there to close the week. This would make for a positive, exciting open on Sunday or set the stage for a “drive-by shooting” as we have seen on a number of occasions, especially after strong moves the previous week.
We hope to see the metals move higher and higher. If our targets are to be achieved by the end of 2020 gold needs to begin making serious, sustained, moves like we have seen the past couple of days. We need more of that type of action. I believe we are going to get it. I also believe we are going to see silver make some very strong moves as well. Both metals have been exhausted over the past 6-7 years as we have witnessed massive changes that should have pushed these metals to much higher ground. It appears the foundation of sand is giving way and the metals will have no choice but to move to higher ground simply to find solid footing to stand upon.
The mining sector for both metals is a disaster, the uses for silver has exploded over the past 6-7, China, India and Morocco are wrapping up 5 year programs to install solar panels atop 600+ million homes (silver), the demand for physical gold by national banks has gone next-level over the past two years, the global economy is in a shambles, Venezuela has a gold backed cryptocurrency in use, Russia is on the verge of deploying a gold backed cryptocurrency, Malaysia is calling for a gold backed international trade note, China is moving across the globe internationalizing the yuan and works hand-in-glove with Russia. These are just the items off the top of my head that are all 100% gold and silver positive. The list of gold / silver positive news items demanding attention by the metals, and traders, grows by the day. Got physical close at hand?