Gold traded between $1323 and $1329.40 in Asia with a trading volume of 4.6oz (at 07:51 Swiss Time).
Gold continues a good correction. It was good to see a better than expected scenario. This calmed the market and equities took a lot of buying power away from the Precious Metals. There was no large rebound after Asia hit the lower 1330 and gold continue to see profit taking.
The market has quickly shifted into a risk on environment. After a correction from the year-highs in an overbought market, gold should find a first support at $1325 and rebounds above $1330 and may be sold unless the covering would be based on geopolitical news.
Today’s expectations: Expect the eyes to shift back to US economic news with Inflation data in the forefront. Dragging oil prices should keep the expectations in check. Looking for $1320 down to $1310 to hold and trigger fresh hedging of uncertainty.
Silver traded between $17.7250 and $17.83 in Asia and is holding well under $17.75. It may have room down to $17.50, should gold correct further.