Issue #11
Dear Member,
Gold and silver are now rallying back up to resistance levels. The bounce is a bit more than I expected, but the trends remain firmly negative. Once this bounce ends, which should be today or tomorrow, we should see a resumption of the downtrend.
I have no signals on my models to the contrary. Hence, I recommend staying short gold and silver via your long positions in the inverse ETFs ProShares UltraShort Gold (GLL) and ProShares UltraShort Silver (ZSL). Maintain your protective sell stops at $95.86 and $98.77, respectively, on a good-till-cancelled basis.
Here is a current chart of gold, labeled with both technical overhead resistance lines as well as my system resistance levels noted by the red horizontal lines. As you can see, gold is running into massive overhead resistance. The next leg down should soon begin.
So I repeat: Hold your positions and stay tuned!
Best wishes,
Larry
