Gold Approaching 200-Day Moving Average

Includes: GLD, IAU
by: Bespoke Investment Group

With a decline of 3% today, gold is on the verge of testing its 200-day moving average for the first time since early January. With the exception of a one-day spike on the day the Fed said it would buy US Treasuries (3/18), gold has pretty much traded down in a straight line. Even though most observers said the Fed's action would lead to inflation down the road, the price of gold is now lower today than it was before the announcement.