Daily Market Report 5/26/16

GOLD

After reaching a low of $1,217 per ounce yesterday, Gold rallied in overnight trading to $1,234. After the break below the $1,250 per ounce support level, I expected a recovery rally, but was surprised to see that the rally didn’t hold. If Gold can’t hold above the recent low of $1,217 per ounce today or tomorrow, I would expect to see a test of the $1,200 long term support level. At 11am PDT today, Gold is trading at $1,221, down $4 on average volume.

SILVER

Silver reached a high this morning in Asian trading of $16.59 per ounce before seeing some short term profit taking. Silver sold-off with Gold and reached a low today of $16.21 per ounce. At 11am PDT today, Silver is unchanged, trading at $16.33 per ounce on normal volume.