Political uncertainty tends to benefit gold but the French election and Dutch upheaval are giving a lift to the dollar with gold caught in the downdraft. Worries about liquidity at European banks may be prompting sellers.
- Gold has traded lower or virtually flat for 7 straight sessions
- April 4 low of $1612 is support
- Note, however, that in the past 5 instances of gold hitting a fresh low, it has rebounded the next day
- The average total value of the rebound (low to high) is $52
- The average duration of the rebound is 3 days
