Gold opens exactly mid-range in Asia this morning at 1250 an ounce, with key support and resistance at 1240 and 1260 respectively. Of the two, the 1240 support is looking perhaps the more vulnerable after Friday’s anaemic Eurozone Flash CPI number came in at a lower 1.5%.
Silver is looking far more constructive, holding comfortably last week above its 200-day moving average at 18.1000 and a break of 18.3000 setting up a run at the March highs around 18.5000.
Both metals should trade with a slight upward bias this morning following President Trump’s remarks about “going it alone” against North Korea if need be. His meeting with President Xi this week should make for interesting reading before we roll into the main events, the FOMC meeting minutes on Thursday and the Non-Farm Payrolls on Friday.
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