It appears that after yesterday slump some technical repair is currently taking place. This is not the time to sell gold and silver as February 26 was not the time to buy. Yesterday action is nothing new for anyone watching the precious metals, gold has seen moves of ~ 40$ in 24 hours more then once , sharp moves like that are typical at bottoms or tops though it is not always the case.
For readers who need to buy physical gold and silver this is a rare opportunity and you might want to buy a larger amount then you normally do. Long term investors which buy gold physically or gold funds can enter the market gradually. Speculators need to be on the watch for buy signals.
I see quiet a few bearish gold articles with targets of 600$ and 570$ which should be viewed as a contrary indicator (The majority of investors and traders tend to be bearish at bottoms and bullish at tops). It appears there is allot of speculative short selling taking place with intention to capitalize on a falling gold and silver prices. Are the short sellers getting over confident? Time will tell…
If you think like I do that gold is in a multi years / decades bull market then you have to be bullish most of the time , sometimes natural but never bearish.
Overall, initiating bullish positions with medium to long term time frame seems favorable both in terms of price and time.
Bill Cara has posted about Gold mining costs and you might want to read that: