Gold Shares Projecting a Top

The story for the day yesterday was gold. After a parabolic move over the past couple of weeks gold shares reversed hard and on volume. The move up was more than likely built on speculation and not on a true character change in market supply and demand for the precious metal. Technically gold is at the top of its range and if it remains true to its character, it is ready to oscillate back down to the bottom of its range once again. If the Fed doesn’t raise rates today this may change, but from the way gold shares traded yesterday, sentiment clearly favors another rate hike.