This week we saw a sharp slide lower in global equity markets amid growing concerns of a continued spread of the virus. Gold and silver pushed higher to start the week with the initial sell-off in stocks but with the spread of the coronavirus dominating headlines this week, we haven’t seen the safe haven flow to gold and silver as one would typically expect. We’ve also seen the dollar lose its attractiveness versus the other currencies which is a positive sign for those bullish metals. The longer it takes to contain the spread of the virus the more likely we will see global economic slowdown and this turn from a correction into a recession. Some are even estimating an impromptu rate cut by the Fed to try and lessen damage to the markets. April gold has mostly chopped sideways this week and is currently trading at $1,625. A break of the $1,600 level would reverse the trend to the downside with a push above $1,665 needed to give the market momentum to retest recent highs of $1,691 and then the $1,700 level. May silver hasn’t faired as well this week, trading through support at $17.50 and down to a low this morning of $17.05. On a break of support at $17.00 we would expect to see silver trade down to $16.65. Resistance in May silver comes in at $17.50 and $18.00.