My Monday and Tuesday Price Predictions Came True. What's Next?

This past Monday, I told everyone here early in the morning, shortly after 8:30 AM EST when gold and silver futures markets had opened in New York and gold/silver prices spiked, that the price spike was a bankers’ “sucker’s ploy” that would not last. Yesterday, even when gold/silver prices had retreated a little from their Monday highs, I stated that after the FOMC interest rate hike of 50 basis points, that silver would retreat to the $22 to $23 range and that gold would retreat back to the $1,700 to $1,750 range.

Above we can observe that after an initial price dump both in gold and silver immediately following the FOMC interest rate hike, that gold and silver regained both their price dumps, with silver regaining $24 an ounce and gold rising to $1,814.26. This led to a couple of subscribers asking why my predictions were so wrong for post FOMC interest rate hike behavior. However, such questions can only originate from those that lack patience for price trends to play out and don’t understand that a one-hour price movement does not make a trend. Despite the rebounds in gold/silver price, post- FOMC announcement evident in the 1-minute charts below, I remain committed to my earlier price predictions.

However, what a difference just a few more hours makes in evaluating my earlier week price predictions for gold and silver. This morning silver retreated to within ten cents of the top of my predicted price pullback at $23.10, and currently at $23.15, has plummeted 3.74% from its brief post FOMC announcement recovery yesterday. In the meantime, gold has fallen $37 an ounce from its post FOMC announcement recovery, though it has not yet reached the top of my predicted gold price range of $1,750 yet.

So what’s next?