Gold retreats after Thursday jump

Morning Report: 08:45 London

• Gold and silver are peeling back this morning after leaping higher yesterday. The spike has been attributed to a late reaction to the dovish Fed statement, but something else was afoot. The pull back today is natural after a large move, especially one that push both precious metals into over bought territory.                                             

                             
                  
                             

• Elsewhere, the British pound is finding its feet and is out performing the euro once again.

                             
                                                                                                                                                       
                              

                             
                                                          
Coming up today:

• Coming up today we have European current account data at 09.00, with UK public sector net borrowing at 09.30.

• The afternoon’s main item is Canadian CPI and retail sails at 13.30.

Trade Idea:

• After yesterday’s big spike, now is a good time to play the reversal on silver.

                             

A good way to play this is a LOWER trade predicting that silver closes below $20.50 in 5 days time could return 112% if successful.

This is presented as an idea to stimulate fixed odds financial betting ideas and is not financial advice. 

Summary: