Silver and Gold Market Update

March 4, 2009

Timothy Silvers

          Silver and Gold may have finished or be close to finishing their correction. Both are back in neutral RSI territory between 45 and 50. Silver spiked low on Tuesday but closed above my target of $12.75. Today silver managed a gain, but gold continued dropping for the eighth day. It fell through my first target of $930 on Tuesday, but has since held above $900. It is probably too early to tell if these are the lows for this correction or not, but silver and gold are starting to look pretty attractive at these levels and I’ll be putting in buy orders while watching for signs of further downside.

          Certainly it would not be surprising to see strength in gold Thursday after 8 straight days of losses. Whether we have already bottomed this week or if there is still a little more correction to go next week, we’ll have to wait and see. If silver were to close below $12.75 or gold below $900, then my next targets for support are $12.25 and $885. Silver closes above $13.45 and gold above $945 would confirm that we are back on the uptrend where gold should take out its previous high of $1033 (spot price) and silver should trade at least in the $15-16 range.

Best wishes on your investing and future and God Bless,

Timothy Silvers

 

Disclaimer: This article represents the opinions and personal views of Timothy Silvers and is not intended to be investment advice. If you choose to use this analysis for your personal trading, Timothy Silvers assumes no liability for the direct or indirect losses you may incur due to using this article to make your investment decisions. You are totally and completely responsible for your own investments. At any given time, Timothy Silvers or his friends and relatives may have positions in silver related investments that may or may not follow the recommendations contained in this article. The information in this article may not be completely correct and accurate. Even though Timothy Silvers has done his best to review the content and accuracy of this article, he is in no way liable or responsible for any mistakes or omissions.