Metals on the slide

Whilst the main equity market climbed for the third day, the precious metals saw rather significant declines. Gold and Silver closed -1.8% and -1.3% respectively. Near term trend is slightly weak, and Gold is in danger of breaking the broader up channel.


GLD, daily

SLV, daily

Summary

The precious metals remain in a fierce battle to break away from the June lows.

Yet, there are so many issues in the near term that could cause serious havoc in the precious metals.

-10yr bond yields look set to break >3%
-German elections, with implications for the wider EU
-looming US attack on Syria..'metals as a 'safe haven' trade.
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What is clear, the metals have had a very significant bounce from the June lows, even a 50% retracement would be very natural.