3.7.2017 Since failing multiple times at its 200 day moving average, gold has trended lower and has fallen in its last four consecutive trading sessions. Fed rhetoric from multiple officials is pointing towards the increased likelihood of a rate hike next week. The combination of a technical failure at the 200 day moving average plus this chatter has weighed on gold and the rest of the precious metals complex. Near term support is coming in at the convergence of the 100 and 50 day moving averages around $1,211. The recent ETF trend has shifted and there has been 500,000 toz of redemptions since last Friday. Comex longs are at three month highs though, as of CFTC data to February 28th, but these longs will be tested with a further move south. Silver Comex longs are at highs not seen since August of 2016 so this $1 drop in price we’ve seen over the last week is an understandable correction. Physical demand in the US for fabricated products remains historically weak, even with the drop in price. This is best exemplified by US Mint sales figures. This past February, the US Mint sold 1.215 million silver eagles. In February of 2016, they sold 4.782 million silver eagles. This is a staggering drop in demand of 3.567 million ounces, or 75% off from the same period last year.