Rising Geopolitical Tensions Ignite Fire Under Gold and Silver Prices

Geopolitical tensions have lit a fire under gold and silver prices. A confluence of factors has finally pushed gold and silver above key technical resistance levels. Gold hit a 5-month high, rising over $ 20 (1.5%) to $ 1,275. It is the highest print for gold since the election of Trump. Silver also rocketed higher, climbing more than 40 cents (2.2%) to $ 18.35. But it was not just the magnitude of the move higher that is important. Gold finally broke through the $ 1,260 price level, which was previous resistance and the 200-day moving average, to make a new 2017 high. We would like to see at least one more day of gold holding above this price level, but the implications of this move are significant. The RSI momentum indicator is also pointed higher with room to run before becoming overbought.
The Market Oracle

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