Senior Trader Market Update 19 June

Good morning everyone and I trust you had a good weekend.
 
The effects of Wednesday’s US FOMC monetary policy statement continued to reverberate across the precious metals space as last week drew to a close with the complex remaining on the back foot and under pressure.
 
The latest CFTC Commitments of Traders Report (as at June 13th) showed:
 
Significant long liquidation from the non-commercial speculative community in gold prior to last Wednesday’s FOMC statement.
 
Heavy short selling by silver speculative accounts, erasing the net 24.4 mio ozs increase in long length (Futures & Options Combined) of the prior week.
 
Platinum non-commercial speculative investors re-entering on the short side.
 
The squeeze in palladium eased but the industrial metal remained in demand and outperformed the remainder of the precious metals complex.
 

Technically, XAU/AUD has rendezvoused with the all-important 200 Day moving average at AUD 1643 and the major trendline support at AUD 1633 will likely mark the last line of defence for XAU/AUD bulls.
 
XAU/USD likewise, has been driven down towards moving average support levels near the 100 Day moving average (USD 1248), beneath which lies major trendline support at USD 1241 and the 200 Day moving average (USD 1237). All things being equal the USD 1237 – 1241 region should provide solid support initially if tested.
 
Good luck this week.
 
Regards,
Andre