Precious Metals Update

Gold retains positive tone and aims to retrace the pullback from 689.00, Feb 27 high, on the back of double bottom reversal off the trend-line support.

Toppish daily indicators, however, warn of corrective dips which should hold at 655.50, Mar 23 low.

Rebound from there will resume up-leg over 669.35 ahead of 675.78, fib.764 level.

Sustained break there bodes well for 677.60, Feb 28 high before extending bull leg to 689.00, Feb 27 trend top.

Silver respite off 12.605 Mar 14 low looks over-extended as it approaches key resistance level at 13.690, former support level.

Expect pullback from there which will test support zone near 13.155 and 13.000.

A violation of 12.605, however, risks 12.420 Mar 5 low, ahead of setback towards 12.109, 50% of 9.470 to 14.748 advance.

Platinum bullish tone remains largely intact and lurking for further gains since reversing off 1161.0 and 1170.5, Mar 5/Mar 6 lows.

But as the momentum indicators gets toppish, expect corrective pullback testing support zone near 1219.0, Mar 19 low and 1202.5, Mar 15 low.

Possible bounce from there will ignite bull trend resumption towards 1255.5, Feb 28 top ahead of 61.8% retracement level at 1285.5.