From the Trading Desk
For three consecutive days leading up to last night’s highly anticipated presidential debate, gold traded in an uninspired $13 range. Market participants had taken chips off the table with the expectation that a clear winner of the debate could potentially cause a knee jerk reaction in other markets. While most polls had Hillary Clinton slightly winning last night, the market was largely disappointed with the debate overall. Gold traded in only a $6 range during the debate and then with Hillary emerging ahead after it, it sold off for the remainder of the trading session. Gold is approaching a tightening wedge formation from upward (dating back to Dec 2015) and downward (dating back to July 2016) sloping trend lines with $1,315 – $1,345 as the defined range. The debate from last night combined with the Fed still looking to raise interest rates may have us test the lower end of that range in the next week.
The dollar up, gold down. Pretty simple.
I was interviewed by Brian Bain from Investor In the Family and will be making the announcement via the Newsletter tomorrow, but loyal readers of the Current Thoughts can listen to it here;
Doug Eberhardt is a 28 year financial services veteran and precious metals broker selling gold and silver at 1% over wholesale cost. Doug has written a book to help investors understand how gold and silver fit into a diversified portfolio, how to buy gold and silver, and what metals to buy. The book; “Buy Gold and Silver Safely” is available by clicking here Contact phone number for Buy Gold and Silver Safely is 888-604-6534
Commodity Futures Trading Commission Futures and Options trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don’t trade with capital you can’t afford to lose. This is neither a solicitation nor an offer to Purchase/Sell futures or options. No representation is being made that any account will or is likely to achieve gains or losses similar to those discussed in this outlook. The past track record of any trading system or methodology is not necessarily indicative of future results.
All trades, patterns, charts, systems, etc. discussed in this outlook and the product materials are for illustrative purposes only and not to be construed as specific advisory recommendations. All ideas and material presented are entirely those of the author.