The Cliff is dead, risk is on!
In an exact repeat of the end of 2011 and the first 2 weeks of 2012, gold and silver have absolutely exploded Wednesday in the first trading of 2013. Silver is up over $1 to $31.55, a nearly 4% gain, and gold is up a more modest $15 to $1693.
Silver needs to extend its gains through $32.50, and then re-challenge major resistance in the $35-$35.50 area.
Gold was initially set back at $1690, then penetrated the level in a vertical move, and has subsequently been beat back below the level:
It will be critical for gold to make a move through $1700 and hold the level through consecutive closes, which should set up another challenge of $1800.