Daily Market Report 3/10/16

GOLD

This morning was the second time this week that Gold briefly broke below the key $1,250 per ounce support level. In early Asian trading today, Gold reached a low of $1,245.40 per ounce. At that point, the U.S. Dollar weakened on a statement from ECB Chairman Mario Draghi, that it is unlikely the Eurozone interest rates would drop. Then, program trading and central bank purchasing appeared and the price quickly jumped $20. At 11am PST today, Gold is trading at $1,270, up $13 per ounce on good volume.

SILVER

Silver pretty much followed the Gold price direction today. Silver reached a low of $15.24 before Draghi’s announcement, then quickly rallied with Gold to hit $15.60. I like the fact that trading volume picks up every time Silver reaches the $15.20 level. At 11am PST today, Silver is up $0.17 per ounce, trading at $15.52 on average volume.