Gold prices have been in lockdown in a range-bound month. The spread between July’s high and low was just $57.54. This is the narrowest in seven years – the June 2007 range was $54.70. This was right before the global financial crisis.
The summer months frequently see seasonal weakness as has been the case in recent years and since gold became a traded market in 1971. Gold and silver often see periods of weakness in the summer doldrum months of May, June and July.
Gold’s traditional period of strength is from early August into the autumn and early winter. Thus, early August is generally a good time to buy after the seasonal dip.
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