A seven-day rally in gold prices ended on Friday.
Gold prices are virtually unchanged this quarter after a drop on Monday. Prices are down $13 to $1185 as a strong dollar and better gains in competing asset classes weigh.
The tell for gold shorts was the inability to hold gains in a rally up to $1220 on Thursday. Since then, gold has lost nearly 50% of the rally that began following the Fed on Feb 18.
Gold is looking increasingly bearish as it begins to retest the $1280 level. That was a double-bottom in 2013/14 that broke late last year. Gold has been consolidating since then but the early-year rally is beginning to fade.
I like shorts below $1180 as the Fed moves toward tightening.
