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The risk of a civil war in the Ukraine seems to be ramping up unless the west decides to intervene. Investors are likely to turn to gold as a destination of choice given the uncertainty markets are facing. There has already been some excitement in gold this morning as the precious metal rallied to 1329 after gapping higher at the morning. Gold was trading at around 1318 on Saturday morning and is now front and centre among traders.
We could also see some moves in the US dollar with Janet Yellen on the wires along with the Beige Book this week, and this would potentially impact the precious metal as well. Traders will be watching March 21 highs at 1343 in the near term. We will probably need another catalyst to push gold through that level.