Precious Metals News Update - 14 May 2018

15 May 2018

COMMENTS / HIGHLIGHTS:

A mixed bag on Friday as the week drew to a close. Europe took XAU/USD up to technical resistance at the USD 1325/1327 region before the market rolled over when US investors arrived who erased all of Europe’s gains in what was routine intraday, speculative trade. The overall trend for the US Dollar on Friday was lower with losses pared into the close. Crude oil markets also retreated from last week’s 3½-year highs and US equity markets after drifting lower early, closed on a firm note.

Geopolitical developments and events from the Middle East (Syria, Iran, Israel) remain on investor radars. So too does the global impact from the Trump Administration’s withdrawal from the ‘Iran Nuclear Deal’ last week, particularly on European Union manufacturers and businesses. Elsewhere, a historic meeting between the US President and North Korean Leader is expected on June 12th in Singapore.

TECHNICAL COMMENTS:

XAU/USD: As highlighted on Friday, minor technical resistance at the 21 & 55 Day moving averages (USD 1325 – 1327) halted gold’s momentum as the week concluded. If / when this region is successfully negotiated, then the way should open for XAU/USD to oscillate back to the top end of its well established USD 1300/1306 to 1366 range.

XAU/AUD: XAU/AUD has decamped from last week’s highs back to the 21 Day moving average at AUD 1745. Should further weakness ensue then the next downside supports emerge at AUD 1727 (55 Day moving average) and previous major resistance at AUD 1714.00

Good luck.

Regards,
Andre

15 May 2018

COMMENTS / HIGHLIGHTS:

A mixed bag on Friday as the week drew to a close. Europe took XAU/USD up to technical resistance at the USD 1325/1327 region before the market rolled over when US investors arrived who erased all of Europe’s gains in what was routine intraday, speculative trade. The overall trend for the US Dollar on Friday was lower with losses pared into the close. Crude oil markets also retreated from last week’s 3½-year highs and US equity markets after drifting lower early, closed on a firm note.

Geopolitical developments and events from the Middle East (Syria, Iran, Israel) remain on investor radars. So too does the global impact from the Trump Administration’s withdrawal from the ‘Iran Nuclear Deal’ last week, particularly on European Union manufacturers and businesses. Elsewhere, a historic meeting between the US President and North Korean Leader is expected on June 12th in Singapore.

TECHNICAL COMMENTS:

XAU/USD: As highlighted on Friday, minor technical resistance at the 21 & 55 Day moving averages (USD 1325 – 1327) halted gold’s momentum as the week concluded. If / when this region is successfully negotiated, then the way should open for XAU/USD to oscillate back to the top end of its well established USD 1300/1306 to 1366 range.

XAU/AUD: XAU/AUD has decamped from last week’s highs back to the 21 Day moving average at AUD 1745. Should further weakness ensue then the next downside supports emerge at AUD 1727 (55 Day moving average) and previous major resistance at AUD 1714.00

Good luck.

Regards,
Andre