Gold & Silver Building Firm Base At New Resistance Levels

GOLD

Gold traded today between $1,494 and $1,507 per ounce, as it consolidates this week’s $50 increase. Interest rates continue to drop, while the U.S. Dollar Index holds around the 97 level. I expect Gold will build a new base above the $1,500 level on the move to $1,600 late this summer. At 11am PT today, Gold is trading at $1,499 per ounce, down $3 on normal volume.

SILVER

Silver is having a difficult time staying above the key $17 per ounce level. After this week’s $0.80 (5%) increase, it’s not surprising to see Silver take some time to build a base. Building a firm base will allow Silver to firmly move over the important $17 resistance level this summer. At 11am PT today, Silver is up $0.01 per ounce, trading at $16.99 on normal volume.