A fourth week higher

The precious metals managed a fourth consecutive week of net weekly gains, with Gold and Silver +0.7% and +1.6% respectively. Near term outlook is mixed though, as the USD looks prone to renewed strength, and that will put downward pressure on gold/silver.


GLD, weekly

SLV, weekly

Summary

*black fail candles for both Gold and Silver.. at what is an area of resistance. Such a candle type leans bearish... at least in the short term.
--

Suffice to add, its a bit of a messy situation.

Clearly, the short term trend IS bullish. Seen on the bigger weekly chart, we have a MACD (blue bar histogram) cycle that should see a bullish cross for both Gold and Silver within 1-2 weeks.

The big problem for the precious metals remains the strong dollar. Its near impossible to see significant dollar cooling across 2017. Indeed, broad upside to the DXY 120s look a given. Even if that is spread across 2-3 years, such dollar strength will be a perpetual downward pressure on the precious metals.