“Greece may default on its debt as early as next month,” said Steve Scacalossi, a vice president at TD Securities, in a Dow Jones Newswires report. “The weekly charts for gold and silver look menacing.”
“What we’ve seen in recent weeks is rallies have been increasingly weaker on the upside, and that is a warning that we are going to see another test on the downside,” added Daniel Smith at Standard Chartered in a Reuters report. “Gold didn’t benefit from the latest European problems and part of that is the U.S., which has been outperforming relatively speaking, so that is handing the dollar strength.”
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Full disclosure: Tom Lydon’s clients own GLD and SLV.