Gold: Weekly chart.

Gold is now testing the 100 weeks MA for support. If this should break, we could see the 200 weeks MA tested for support. This is currently rising and approximates US$1,378.46 an ounce. That is some way to drop.

The MACD is declining after completing a bearish crossover in positive territory. Crossing into negative territory could send price lower. It would have to form a higher low to see price recovering. Having said this, the longer term uptrend, at this point in time, is very much intact.

I would look out for a basing process before buying more.

Gold and silver do well when there is a lot of fear in the air. With the governments of major economies dovish with signs of more monetary easing, equities have gained favour. Risk is on again.

Silver: Weekly chart.

A good friend reminded me that since I am looking to hold silver long term with a crisis mentality, I should be looking at the weekly chart. Indeed!

200w MA is rising relentlessly and is at US$25.55 an ounce. The 50w MA is at US$31.09 an ounce. We are seeing higher lows and higher highs on the MACD, a pure price momentum oscillator. Long term momentum is positive and strengthening.

There is a chance that supports could be tested which would probably see strong buying interest.