Gold has had a good run so far this week, bouncing off intermediate support around $3,300. It had a strong session yesterday and was firmer overnight before selling pressure saw today’s gains evaporate. But then, in another shift in sentiment, gold began to rally.
By mid-morning, it had pushed back above $3,380 to trade at its best levels since this time last week. Gold continues to benefit from a softer dollar and simmering geopolitical concerns.
The next upside target is $3,400, a level that has acted as resistance since late April.
Source: TN Trader
Silver was little changed in early trade. But it suddenly dropped soon after the European open in a move which saw it fall below $35.50 before steadying.
On Monday, silver came close to testing $37 per ounce. But it has pulled back ever since. Given its recent outperformance relative to gold, silver prices may need to correct a touch, or at least consolidate, to rebuild upside momentum.
