We open the week in a trading range, as we witnessed strong ETF inflows on Friday in all four precious metals.
Some financial advisors report that retail investors continue to reposition a percentage of their portfolios into metals, as some investors believe negative interest rates will have a direct impact on higher metal prices.
At the time of this report (5am eastern, as I head into New York City to visit a few clients), we see a slightly stronger dollar ahead of the Fed meeting March 15-16. Almost everyone is expecting the Fed to keep interest rates unchanged. Everyone will now focus on the language that is shared with us after the meeting.
As I indicated in my last comment, in my opinion and the opinion of my tech friends, the $1,246 level in gold must hold in order to give the market confidence that higher gold prices are in the cards. Resistance on the upside is at $1,284.80 and if we break above that number, $1,300 is not far away.
Author Name: Walter Pehowich
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