September 27th Gold and Silver Market UpdateQuick Update,
As we finish up the month of September and step into October, the US presidential election is right around the corner for November 1. I believe this will create some market volatility upon election results, and any drama following the event that we are likely to see.
Gold and Silver look like they may be starting to consolidate here. After a rejection this week for gold at the local 2.618 fib, and some negative divergence on the 4hr chart, and a somewhat overextended short term price run, it seems gold may cool off this coming month.
I am targeting $2,550.
For silver, since it tracks with gold (usually in a more aggressive way), there will also likely be some consolidation. I am expecting silver to get back down around $26.50.
So, if things are consolidating prior to the election, it's likely we see a counter move following the results. So there may be some opportunity to play that move.
Specifically for silver, I'm thinking a potential 10-20% pop from wherever it consolidates to this following month. You could trade physical bullion or trade the paper, up to you.
Leave a comment below with your thoughts.
- Micah
