NEW YORK (TheStreet) -- Weakness dominated markets this past week, and many stocks followed.
The summer of consolidation continues, with some weakness thrown in for good measure. I still don't think this correction will be very deep. Rather, it will just put in the low of this base that is forming and is set to complete in early fall before we breakout and run into the end of the year.
We will make our money this year, we just have to wait for the proper setups.
Gold had a strong week while silver didn't. I talked about silver taking the lead between gold and silver and I still think that is the case.
I don't think this recent strength in gold will last since it is on news and silver is not following at all. As always, I can be wrong, but I'm right more often than not and I think I will soon be proven right in this case as well.
Let's move right into the charts and see what I'm seeing in the precious metals this week before I dive into more charts of specific stocks and markets.
Gold rose 1.22% this past week on news and not much else. We've seen some awesome moves higher recently, which also was news driven and it didn't take long for those to fail and I'm expecting the same for gold in the days ahead.
Friday saw weakness on strong volume and silver didn't even try to pretend to move higher along with gold. Gold has resistance at $1,330 and is backing away from there now.
There is moving average and chart support back at $1,290 so until we break either way I can't say much other than I do not think this long correction in gold is near the end yet.
Silver fell 1.94% and showed no signs of life at all. I'd love to say gold is going higher but with silver taking the lead recently and showing no sign of moving higher I can't.
It's not my fault or doing, just the reality of the situation. The downtrend line in silver is now at horizontal chart support and the 200 day moving average at $20.25 so that will be very tough resistance.
For now $19.75 is holding as support but if gold continues to reverse, silver will break towards the next major support level at $19.25.
Platinum gained a 0.84% this past week and is trying to break the downtrend line. A nice break of the downtrend line Thursday was followed by lots of giveback Friday.
Our old resistance pal at $1,490 is back in control and that is the line in the sand. It all depends what gold does but for now $1,490 is resistance while the 100 day moving average at $1,460 is support.
Palladium dropped only 0.68% for the week but has confirmed the double top I talked about last weekend in my weekend letter. Now palladium is setting up a bear flag which will take it to $820 by the end of the week ahead most likely.
All in all, we saw platinum and gold try to move higher but palladium and silver remain weak. It always makes it harder when the four precious metals are so mixed but my bet is we see lower prices, although, I have no trading positions in the precious metals at the moment.
This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.