A very weak bounce

After last week's very powerful downside, a bounce was due, and there was indeed one this past week. Yet, it was very weak indeed, with Gold and Silver seeing net weekly declines of -0.3% and -0.2% respectively. Mid term outlook is bearish as there is a crystal clear break of rising trend that began at the Dec'2015 lows.


GLD, weekly

SLV, weekly

Summary

Frankly, the bounce is barely noticeable, and it does bode very bearish for Gold/Silver into month end.

Next support for GLD is around 116/113, with an equally tempting gap zone around 113/112. Any price action <112 would bode for a return to the Dec'2015 low.

SLV support is not until $15, which is another 10% lower.

It is notable that the MACD (blue bar histogram) is at/below the Dec' 2015 lows. For Gold, its the most bearish technical situation since summer 2013.
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A note on the USD, weekly

The USD saw a second consecutive significant net weekly gain. The strengthening dollar is clearly a major downward pressure on the precious metals. Any move above the giant DXY 100 threshold would cause absolute carnage for the metals - and related miners.