Metals cool for a second week

The precious metals of Gold and Silver cooled for a second consecutive week, -$7.80 (0.6%) to $1270.70, and -$0.02 (0.1%) to $16.46 respectively. Near term outlook offers further downside, not least if the USD climbs to the DXY 96s or higher. The m/t outlook would turn decisively bearish if Gold <$1238 and Silver <$16s.


Gold weekly

Silver weekly

Summary

Gold is very close to the critical Dec'2017 low of $1238. If that is taken out, it would also result in rising trend - from Dec'2015, being broken. If that happens, legacy target of 900/875 will be brought back on the menu. For the moment, its a very borderline situation.

Silver has broken rising trend, that stretches back to July 2017. Things would turn very bearish with any weekly closes <16.00.

It could be argued that price action is still broad chop/floor building, not least whilst the USD has seen distinct strength since the February low of DXY 88.15 to 95.22.