This week, precious metals had their first serious test of the potential downside since this leg of the rally began in mid-February. Gold lost over $100, or around 5%, from last Friday’s high to the low on Tuesday. It now appears to be stabilising back above $2,300. Silver lost close to 8% between the same levels, but it too managed to steady itself yesterday and, like gold, is a touch firmer this morning. Could this be a brief pause before the selling resumes? Quite possibly. But it may be that the severity of this week’s decline has been enough to scare out the weaker hands, and now the market is setting up for another push higher. If we do see another sell-off, traders will be watching to see how gold and silver perform at support which comes in at $2,300 and $27 respectively. If support holds, then that would be an indication that there’s more upside to come. Investors will also be watching out for quarterly results from Newmont, the world’s largest gold miner. There will be great interest in hearing the outlook from the corporation’s management.