Scott Gecas General Commentary Leave a Comment


After huge buying on 2/19 the gold trade gave back most of the move in recent days. There was two sided trade yesterday with light volume. With the current headline risk with trade war talks, US North Korea tension and Fed speaker Powell starting his two day speech. Then you have the Brexit situation. Volatility should be high if not higher. With all of the news one could make a bullish or bearish case for gold. Weak US dollar, positive trade war talks supports price. If Fed Powell testimony offsets the dovish tone expect Gold to break. From a technical point the market has found strong support on the 1325 level bouncing off three times. A break of 1325 should see strong liquidation with increased volume. Option volume favors the call side with the 1340-1360 call spread trading 1800x. Options expected move going into Fed Powell’s speech is around 23 pts. Option skew looks flat.

Protect yourself at all times,

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