A third week of cooling

The precious metals of Gold and Silver cooled for a third consecutive week, with net weekly declines of -1.7% and -3.6% respectively. A third week higher for the USD is putting some added downward pressure on the metals. Broadly though, the mid term trend remains strongly bullish.


GLD, weekly

SLV, weekly

Summary

It is highly notable that the USD saw the third consecutive weekly gain... having climbed from the DXY 91s to the 95s. This is unquestionably putting some downward pressure on Gold and Silver.. both of which have seen very significant gains since the Dec'2015 lows.



Core support - across June/July

GLD - the 114/112 zone.

SLV - 15.00/14.50 zone.

Unless spot Gold breaks back under $1170 (GLD 112), the original breakout from February is intact.

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Best guess... regardless of any near term chop/weakness, Gold looks set for the $1300s this summer... and that will open the door to a surge to the 1400/1500s.

The precious metals arguably remain an indirect signal of underlying capital market unrest.