An interesting week ahead for gold

The gold spot price has just now broken through USD1390, now 16% up on its New Year’s day low of USD1198, only 2.5 months ago.  There are a number of drivers at the moment including the escalating Ukraine situation, China’s apparent credit bubble and falling currency, a faltering US and EU recovery, and Japan’s economy still sick despite record monetisation.  Well this week will see what happens with Russian sanctions and the next US Fed meeting together with more jobs and existing homes data.  From a technical chart perspective we are getting very close the gold’s 50 day moving average crossing the 200 day MA, something we haven’t seen for more than a year.