Gold Launches a Counter Trend Rally!

Gold had a nice rally today, but is this the time to enter?

Gold dropped to a LOW of $1852 per ounce before mounting a nice rally.

What can be said is that the $1850 level has provided good support of gold in recent sessions.

Will this be the start of something bigger, or has gold simply rallied to the last area of support, that now becomes resistance?

Silver also had a nice uptick today, but is simply back at the last area of support.

The miners, GDX, rallied today in a mirror image of the metals.

There are several "gaps" on the chart that will most likely be filled at some point. If the BULLS can take control then goal would be the 18 day moving average currently at $40.83 per share.

No matter what the next few sessions show the damage to the precious metals markets is ever apparent.

Caution remains the word of the day for the Bulls.

Tomorrow is turn around Tuesday so again be cautious.

Peace out and stack on!