Gold found some support around the $1,289 area, which happened to be where the former neckline of the inverse head and shoulder formation was. Prices are getting some lift now, so we wait to see how much bargain hunting materialises. Generally we thought prices did need to have a meaningful correction when they were stretching away from the uptrend line in early March, the correction has been deeper than we expected, but has not turned us bearish. We wait to see how the market now handles this pull-back. Silver also seems to have found some support and we wait to see if the correction in the PGMs has run its course too.
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