The onslaught of negative news continues to put pressure on the metals this morning. The stronger dollar index now over 102. Stronger yields in the U.S. ten-year treasuries also hurting Gold. So much so that ten-year bond yields around the globe in countries such as Germany, France and Italy, all are showing a good increase in their 10-year bond yields.
Now that the 50-day and 100-day moving average has been violated, some Wall Street gold traders have indicated that they will take on a short position in gold and silver. They are now looking for the selloff to accelerate with hopes that the $1,200 dollar level in gold and the $17.00 dollar level
will be tested some time soon. These guys typically don’t like to hold a position too long unless the momentum is in their favor. If this market reverses they will cover in a heartbeat.
