Gold and silver have resumed their rally, and there is an interesting development in the GLD options market worth watching.

There are more than 300,000 contracts of open interest between the $410–$415 strikes expiring September 18, while GLD last traded around $406. That concentration of open interest just above the current price could become increasingly important if GLD continues to move higher.

At the same time, gold is approaching its 200-day moving average. A sustained break above that key technical level would be an extremely bullish signal to me and could help build further momentum in the rally. Take a look at the WatchGold 1-day Gold/Silver spot chart below for today's positive price action.

Also, please see our separate MAJOR ANNOUNCEMENT: WatchGold Is Opening Its Doors — Free Access for the Next Two Months. Lots going on in the precious-metals markets—let's see if gold and silver can build on this momentum.

This commentary is provided for educational purposes only and should not be considered investment advice.