Commodity ETFs
Tim Knight | Nov 06, 2022 01:14AM ET
We begin with gold, which barely cracked a huge supporting trendline, only to do a marvelous head fake and blast over $50/ounce higher on Friday. Take note the gap it is approaching is important resistance.
Silver, too, had a great Friday. On the one hand, those two lines looming represent powerful resistance. On the other hand, if SLV can manage to conquer those lines, it will complete a very handsome inverted H&S pattern and I suspect precious metals will become supercharged at that point.
The same can be said for the miners. That horizontal I’ve drawn is important short-term resistance. Conquer that line, and you’re going to see gold, silver, and especially the miners, vault higher.
Obliquely related to this is the overall commodity ETF. If we get precious metals rocking higher, along with crude oil (which has been political football lately, even more than usual) not only will DBC stay within its long-term channel, it will also zip past the horizontal I’ve drawn and conceivably could be at lifetime highs in the weeks ahead.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.