Friday, February 28, 2014

Central Planners are Playing Defense and Letting Gold Move Higher

We are now seeing the managed retreat that always occurs when the central planners defensive line is overpowered. Gold’s enemies - the central planners and their bullion bank cohorts that act as agents for the central planners - need to step back and let gold climb higher. But the key question is where will they step in again in an attempt to hold the line and thwart gold’s advance?

The logical price level is $1,350, but they may even try to step in here at $1,300. We are seeing some heavy handed selling at current levels. Hundred dollar levels are also key points where short-term traders will often take some profit. Also, gold’s important 200-day moving average, which has been declining since April of last year, is presently $1,304. So bumping up that price level may induce some profit taking at this important technical hurdle.

- James Turk via King World News: