Gold exchange traded funds are rallying back after getting hit with several nasty sell-offs in the back half of 2011.
However, the ETFs’ 50-day exponential moving average looks to be a key hurdle the gold funds need to overcome before pushing even higher.
Gold’s foray below $1,600 an ounce brought out value hunters who believe the metal’s historic bull run is intact. [Precious metals, Miners ETFs Off to a Strong Start]
SPDR Gold Shares (NYSEArca: GLD) was little changed last week and lost ground Friday on European downgrade rumors.
The iShares Silver ETF (NYSEArca: SLV) posted a nice weekly gain as silver prices managed a run above $30 an ounce. Silver tends to display higher volatility than gold prices and is also more linked to the global economy due to silver’s wider industrial uses. [Silver ETFs Give it All Back]