Wednesday 30 April 2014

Mixed month for the precious metals

It was a very mixed month for the precious metals. Whilst Gold initially caught something of a 'flight to safety' bid, Silver remained generally weak. Gold and Silver saw net monthly changes of +0.6% and -3.0% respectively. Outlook for May, and the early summer, is bearish.

GLD, monthly

SLV, monthly


*I would not get overly fixated on the counts as labelled on the above two charts. What matters is that the primary down trend is holding.

Suffice to say, the precious metals remain in broader down trends.

I still hold to a mid-term downside multi-year floor for Gold in the $1050/950 zone, which will probably equate to Silver in the low teens, if not even the 12/10 zone.