Fierce net monthly declines

It was a fiercely bearish month for the precious metals, with net monthly declines for Gold and Silver of -$76.40 (6.7%) @ $1065.30, and -$1.45 (9.3%) @ $14.09. Near/mid term outlook remains bearish.


Gold, monthly2

Silver, monthly2

Summary

With new multi-year lows of $1051.60 and $13.86, there is absolutely ZERO reason why any of the gold bugs could have any reason to yet call a floor.

Indeed, it is notable that these lows were achieved with the USD settling November only at DXY 100. If the 105s.. or eventually 120s... what might that equate to?
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Holding to original targets...

Gold $1000, then 900/875
Silver $12/10

*around the psy' level of $1000, price action in Gold is likely to get a little wild, as more capitulate, but with the $1K buyers set to appear.
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If correct, the related mining stocks will be seriously impacted, regardless of however strong the main equity market might be into spring 2016.

Six weeks of declines

It was yet another week lower for the precious metals, with Gold and Silver seeing net weekly declines of -1.7% and -0.3% respectively. Gold broke a new multi-year low of $1051, whilst Silver is now trading around $14.00. Near/mid term outlook remains bearish.


GLD, weekly

SLV, weekly

Summary

Suffice to note.. as expected, the precious metals continue to decline.

With the USD back around the DXY 100 threshold, there is a great deal of underlying downward pressure on the metals.

If the US Federal Reserve finally do raise int' rates at the Dec'16th FOMC, the metals will likely see rather fierce declines into year end.. and early 2016.
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If correct... the related mining stocks will be dragged to new multi-year lows... regardless of however strong the main market might be.

A fifth week lower

It was yet another bearish week for the precious metals. Gold and Silver saw net weekly declines of -0.4% and -0.7% respectively. Gold broke a new multi-year low of $1062, and remains on track to test the giant psy' level of $1000.. where price action is likely to get a little wild.


GLD, weekly

SLV, weekly

Summary

Little to add.

The broader downward trend continues.

Once Gold is around the $1000 threshold, price action is likely to get somewhat wild, as more gold bugs capitulate... but at the same time... a significant number of buyers will pile in.

Broadly... the $900/875 zone looks viable in late spring/summer 2016.

*If correct, the related mining stocks will remain broadly weak for another 6-9 months.

A fourth week lower

It was another negative week for the precious metals, with Gold and Silver seeing net weekly declines of -0.5% and -3.5% respectively. Near term outlook remains bearish, with Gold set to break the key low of $1072... opening the door to the giant $1000 threshold.


GLD ,weekly

SLV, weekly

Summary

Little to add.

Four weeks down... as King Dollar remains ruler in FIAT land. A break above the DXY 100 threshold will only increase the underlying downward pressure on all $ denominated asset classes... particularly Oil, and the precious metals.
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If correct, it bodes badly for the related mining stocks into 2016.

Powerful net weekly declines

With the USD jumping higher as the probability of an interest rate hike at the Dec' FOMC reaches almost 100%, the precious metals are imploding. Gold and Silver saw net weekly declines of -4.7% and -4.9% respectively. Outlook into end year is now extremely bearish.


GLD, weekly

SLV, weekly

Summary

The Oct' net monthly gains are now largely negated, with Gold/Silver set to break new multi-year lows before year end.

By definition, a stronger USD will put downward pressure on most commodities, and particularly so, the precious metals.

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A monthly close for the USD >DXY 100, will offer target upside to the 120s in 2016.. and that would likely result in Gold falling at least to the next key fib' retrace in the $900/875 zone. That would likely equate to Silver 12/10.

If correct, the related mining stocks will be similarly impacted.