Metals start the week... weak!

With the US equity and commodity markets weak, the precious metals were not immune. Gold and Silver saw net daily declines of -1.1% and -1.5% respectively. With the FOMC this week, there is likely to be a major move one way or another...weekly/monthly charts would suggest....lower.


GLD, daily

SLV, daily

Summary

All things considered, the past month or two has been just sideways churn for the precious metals. The best the bulls have managed to do is slowly grind Gold to the old support level of GLD 122. With Silver failing to follow Gold above the old support...things aren't looking very strong.

With the bigger weekly/monthly cycles still outright bearish, there is little reason not to believe that current price action is just another large bear flag.

If the Fed continue to taper this week, that will likely not help the metals!