Friday 25 May 2018

Gold bouncing from rising trend

The precious metals of Gold and Silver saw net weekly gains, +$12.30 (1.0%) to $1303.70, and +$0.09 (0.5%) to $16.55 respectively. Near term outlook offers further upside. The m/t outlook will only turn decisively bullish with Gold >$1400 and Silver >$18s.

Gold weekly

Silver weekly


Suffice to add, this weekly gain in gold was pretty important, and negates the s/t threat that the Dec'2017 low of $1238 might be tested. Instead, s/t outlook is bullish into early June. The next rate hike (June 13th) will be a reminder though that rates are still being regularly raised. Higher rates are inherently bearish for gold. 

Things will only turn decisively bullish if Gold can break and hold the $1400 threshold. Arguably, Silver just needs the $18s.