Daily Report : Gold's good year brings optimism; Breadth momentum cools down

So far in 2020, gold has suffered only a minor drawdown relative to its gains. That kind of momentum this far into a year tends to keep going. There are some worrying signs like speculators in gold futures and fund inflows, during what tends to be a flat time of the year for the metal. But it points to higher prices later in the summer.; The McClellan Summation Index has curled down from an extremely high level, after holding above it for weeks. This kind of high, positive, and protracted momentum underlying the market has had a consistent tendency to lead to higher prices over the next 6-12 months.

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