Daily Gold and Silver Market and Technical Commentry and Tips To trade
Market Commentary:-
Gold Market opened at 947.25/948.25 and was well bid as the session began, peaking at
949.75/950.75. However this move quickly reversed as oil tumbled, equity markets
slumped and the dollar rallied. Gold Market retreated to an intraday low
941.50/942.50 before making back lost ground. The dollar gave back ground
helping the metal climb during much of the afternoon, finally settling at
945.25/946.25.
Silver opened on its highs at 1441.00/1444.00 in New York. Falling oil and base
metal prices inspired moderate selling as the trading day got underway and silver Market
slipped to a low of 1424.00/1427.00. It traded sideways until the early afternoon
as it became well bid, finding resistance near 1440.00. The metal later ticked
lower as the session unwound, finally closing at 1434.00/1437.00.
Technical Commentary:-
Gold weakened again today, but still resists the urge to collapse through the 50-
day coming in at $941.00. This support continues to be reinforced by the 38.2%
Fibonacci retracement level we pointed to yesterday. Gold Marginally past that point lies
one month uptrend support at $938.63. The market tone for the metal remains soft,
and only a move above yesterday's intraday high would reverse the psychology of
the price action.
Silver continued to be biased to the downside today; however most medium term
studies continue to generate buy signals. The MACD is trading above the signal
line (buy signal); the 9-day moving average (14.3250) is trading above the 21-day
(13.88); and the overall upward trend will remain intact until a breach of 13.80.
Accordingly, the outlook for silver remains cautiously bullish. Support comes in at
the 21-day moving average of 13.88, while resistance comes in at intraday congestion
of 14.50 followed by 14.80.
