Friday, September 1, 2017

Gold price closes out August up 4% and at highest level since just before last year's Presidential election

Gold closed out the month of August with a gain of 4%, and its highest level since November of 2016.  However what is even more important is the fact that gold has now held the $1300 for three consecutive trading days, turning that hard resistance level into a new support one.


Gold climbed Thursday, tacking on roughly 4% for the month to finish at an 11-month high, a day ahead of monthly data on U.S. employment that are expected to offer clues to the Federal Reserve’s next move on monetary policy. 
Gold prices have settled above the key $1,300-an-ounce level in each of the past three sessions, finding support from short covering, an increase in long positions and a generally positive price outlook for the metal, said Chintan Karnani, chief market analyst at Insignia Consultants. 
“For the first time in many years, traders and investors are asking me whether they can invest in gold,” Karnani said. “I have not seen such positive outlook to gold in the past two years.” – Marketwatch
In addition to gold, silver has forged ahead of its own hard resistance level of $17.50 and is now moving steadily towards $18 heading into September.

A final note of interest is that the gold-silver ratio is dropping, and now is below 75 for the first time in several months.

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