The past 20 months have been pretty awesome for gold bulls.
They finally realized what they had patiently been waiting (years) for: A breakout to new all-time highs.
And it finally broke out when most investors (and financial media) had written it off… making it even more bullish.
But after a strong run higher gold is consolidating its gains. So what’s next?
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$GLD Gold “weekly” Price Chart
As I mentioned earlier, the breakout is bullish. And now we can see price consolidating in a $15 range.
While price may simply breakout to new highs (again), there is a chance that gold pulls back toward its rising 40-week moving average before its next breakout. This would allow for what traders call a refresh with new buyers coming in. Just something to be aware of.
Twitter: @andrewnyquist
The author may have a position in mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
