Metals holding within bear flags

Whilst the main US equity/commodity market traded a touch higher, the precious metals saw significant weakness. Gold and Silver saw daily declines of 1.3% and 3.5% respectively. Near term price formation is a very clear large bear flag, and lower levels seem very likely.


GLD, daily

SLV, daily

Summary

The Fed/Bernanke did nothing to inspire the precious metals today, even though the market appears confident that QE will continue into summer 2014.

We have very clear bear flags on the daily charts for both Gold and Silver, and much lower levels are supported by the bigger weekly/monthly charts.

Mid-term targets remain Gold $900s... Silver $10