Senior Trader Daily Update 20 September 2017

Good morning everyone.
 
Gold and silver consolidated and tread water on Tuesday ahead of Wednesday’s MonPol announcement by the US FOMC, as the markets await guidance from the Federal Reserve regarding the scope and timing of any potential paring back of the its balance sheet.
 
Elsewhere, US President Trump delivered a speech at the United Nations commenting amongst other things that; “we also realize it’s in everyone’s interest to seek a future where all nations can be sovereign, prosperous and secure.”, before addressing North Korea and Iran specifically in the following unambiguous terms; "If it the US forced to defend itself or its allies, we will have no choice but to totally destroy North Korea. Rocket man is on a suicide mission for himself and his regime"; and “The Iran deal was one of the worst and most one-sided transactions the United States has ever entered into. Frankly, that deal is an embarrassment to the United States, and I don't think you've heard the last of it. Believe me. It is time for the entire world to join us in demanding that Iran's government end its pursuit of death and destruction.”
 
Technically, another lower high / lower low day has seen XAU/AUD rendezvous with its 200 Day moving average at AUD 1631 and the zone between the 55 & 200 Day moving averages (AUD 1618 – 1631) may see further action in the interim.
 
A test of the psychological ‘big figure’ at USD 1300 appears compelling with the 38.2% Fibonacci retracement of the USD 1204.50 (July 10th) to 1357.50 (Sept 8th) located nearby at USD 1299. Should the USD 1300 level yield, then robust support is likely to be seen at the conjunction of the 55 Day moving average and the 50% Fibonacci retracement (of the aforementioned move) which is located at USD 1281. Additionally, the 61.8% Fibonacci retracement at 1263 and the 200 Day moving average at USD 1244 present as key downside support levels.
 
Good luck.
 
Regards,
Andre