Gold Hits $3,499 oz – Before Seeing Timely Profit-Taking

GOLD

Gold reached a new all-time high of $3,499, making its first attempt to break the key $3,500 level in Asia early last night. As markets moved west into the Middle East and London, sellers appeared for the overdue correction. The fundamentals for this Gold rally are still very bullish and I would expect to see another move to $3,500 very soon.

As for now, closing above $3,400 today would be good, and over the next week consolidating recent gains and building a firm base for the next move higher.

At 11am PT today, Gold is trading at $3,404, down $16 on excellent volume.

SILVER

Silver initially moved over $33 per ounce on the early Gold rally, and moved below $33 when Gold moved lower. Silver continues to look attractive at the $33 per ounce level.

At 11am PT today, Silver is up $0.24, trading at $32.94 per ounce on good volume.