The Dollar Index is now facing some significant resistance in the 99-100 zone.

If the buck turns lower from here, that should help hard asset prices continue to recover from their coronavirus lows.

If the USD continues powering higher in the days ahead, that would suggest investors remain nervous about the geopolitical and economic fallout from the China virus. Such fears usually imply selling in stock markets and industrial commodities – and potentially some safe-haven buying of gold.

The yellow metal appears likely to challenge the $1,600/oz. level again very soon. A break above it would establish new 7-year highs. Longer-term, bulls will be eying $1,900/oz – gold’s all-time high from 2011.

Silver is much further away from its former all-time highs. But when silver runs, it can run much faster than gold.

The first psychologically significant breakout point for silver would be at the $20/oz level.

As metals analyst D ... Read more »