Something amiss in gold
The following article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.
Precious metals should be the one, sure-shot trade on QE3, yet gold has barely budged since the announcement.
Gold stalled out so far at $1779 -- an area absent meaningful technical resistance and at a time when the news is utterly bullish.
When price action doesn't add up, something is often going on below the surface and that should scare gold bulls.
It's still too early to head to the sidelines but placing a stops below $1760 and looking to re-buy at lower levels is a way to minimize risk.
Posted in: Commodities, Markets