Gold is now below $1,500, a level we’ve been targeting for some time now

Gold is now below $1,500, a level we’ve been targeting for some time now. While maintain our position that we see better value in a long gold position here, our bias still favours more downside. We judge gold relative to our measure of global liquidity – we believe it can come down more, closer to $1,450. Silver has tested its 100d MA at $34.43. Given our view on gold and base metals, we view further losses as the more likely outcome. A break below $34.43 could see silver all the way back to $29/30.

Gold support is at $1,458 and $1,430. Resistance is at $1,518 and $1,550.