Gold and silver fall back to normal profit taking
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(Kitco News) – Gold and silver prices are moderately lower Thursday at noon on Thursday due to routine downward corrections and slight profit taking by short-term futures traders. December gold last lost $ 7.70 to $ 1,862.50 and December Comex silver lost $ 0.212 to $ 24.955 an ounce.
Global stock markets were mostly down in overnight trading. US stock indices are mixed at midday. Stock market bulls are keeping major indexes holding up amid bullish reports on corporate earnings. However, inflation concerns continue to increase. Gatherings in many commodity futures markets on Wednesday highlighted the idea that trading end users are already “stocking up” in advance, in order to counter perceived future price increases. This only shortens supplies and makes them more prone to price increases.
Major foreign markets are now seeing the US dollar index decline following a downward correction after hitting a 15-month high on Wednesday. Nymex crude oil prices are firmer and are trading around $ 78.75 per barrel. Oil prices hit a six-week low overnight as it appears the crude market has peaked in the near term. There is talk of the United States and China drawing on their strategic oil reserves to help reduce rising gasoline prices. The yield on 10-year US Treasuries is currently around 1.55%.
Technically, the bulls in December gold futures have the overall technical advantage of the company in the short term. Prices are in a six week uptrend on the daily bar chart. The Bulls’ next bullish price target is to produce a close above the solid resistance at $ 1,900.00. The bears’ next short term bearish price target is pushing futures prices below the strong technical support at $ 1,800.00. First resistance is seen at today’s high of $ 1,873.30 and then this week’s high of $ 1,879.50. First support is seen at this week’s low at $ 1,851.00 and then $ 1,839.00. Wyckoff Market Rating: 7.0.
The December silver futures bulls have the overall short-term technical advantage amid a six-week uptrend in place on the daily bar chart. The next bullish price target for Silver Bulls is to close the price above strong technical resistance at $ 26.13 an ounce. The next bearish price target for bears is to close prices below solid support at the November low of $ 23.045. First resistance is seen at this week’s high of $ 25.49 and then $ 25.75. The next support is seen at today’s low at $ 24.73 and then at $ 24.50. Wyckoff Market Rating: 6.0.
December NY copper closed 430 points higher at 430.85 cents today. Prices closed closer to the session high today. Copper bears have the overall technical advantage in the short term. The next bullish price target for copper buyers is to push and close the price above strong technical resistance at 450.00 cents. The next bearish price target for the bears is to close prices below strong technical support at 415.00 cents. First resistance is seen at Wednesday high of 436.05 cents, then 440.00 cents. First support is seen at 425.00 cents, then this week’s low of 419.15 cents. Wyckoff Market Rating: 4.0.
Disclaimer: The opinions expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure the accuracy of the information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is for informational purposes only. It is not a solicitation to effect an exchange of commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article accept no responsibility for any loss and / or damage resulting from the use of this publication.