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.

Daily Market watch and gold and silver tips. As On :- 06-08-2009

Daily Market watch and gold and silver tips. As On :- 06-08-2009

Expect Sideways or Lower Gold Prices Tomorrow

Gold Price Close on Wednesday : 964.20
Change: -3.30 or -0.3%

Silver Price Close Wednesday : 14.753
Change: 6.5 cents or 0.4%

Platinum Price Close Wednesday: 1288.00

Change: 13.00 or 1.0%

Palladium Price Close Wednesday: 277.35

Change: -4.00 or -1.4%

Gold Silver Ratio Wednesday: 65.36

Change: -0.514 or -0.8%

Dow Industrial: 9,280.97
Change: -39.22 or -0.4%

US Dollar Index: 77.58
Change: -0.14 or -0.2%

Last three days the US DOLLAR INDEX has been bouncing off 77.5 - 77.6. Today it tried to break through that at 77.428 but failed. Today it will probably succeed.

STOCKS did not like something today. Probably need a rest after failing twice to breach 9,325 Dow. Today they should dip further, but rally remains in force.

GOLD'S floor moved up today with a 956.95 low, but it spent most of the day above 962. High was 967.92, Comex close was US$964.20, down 3.30. Expect sideways or lower gold prices today. The larger rally is still going, this is merely a small correction.

SILVER today was bound in the range 14.60 - 14.80. It just couldn't pierce 14.80. Silver could get a 3 day reaction down from here before it mounts another attack on 14.80. Comex silver closed at 14.753, up 6.5 cents.

US DOLLAR depends for its value upon confidence. Yes, it is a confidence game. What grabs my attention by the throat is how many serious people are telling me they no longer trust the US dollar and must get out of it. Friends, this is new. Never heard this before last fall. US regime is losing its core support.

Daily gold and silver Marketwatch:-

Market Commentary:-

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Gold market climbed during the London session on the back of rallying equity
markets, weaker USD and stronger oil prices to open at 958.50/959.50 in
New York. It traded erratically during the early morning, slipping lower,
finding support near 957.00. It gathered momentum as the dollar continued
to soften and equity markets strengthened. It remained well bid on
investor demand, carrying the metal to an intraday high o 962.25/963.25.
However heavy profit taking as the day unwound, dragged gold market to a low of
954.50/955.50, before settling at 956.75/957.75.

Silver market opened at 1429.00/1432.00 and was carried on the back of stronger
copper and oil prices, peaking at 1446.00/1449.00. Light profit taking
pushed the metal from its highs, finding support near 1430.00. It recaptured
lost ground as the dollar sold off against most majors and equity
markets rallied before trading within a range. Silver market became well offered
as the session moved towards the close, dipping to a low of
1424.00/1427.00 and finally settling at 1426.00/1429.00.

Technical Commentary:-

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Gold market traded through the Fibonacci resistance level at 960 on its way to a

New York Session high of 962.25/963.25. Expect further scale up selling
from 962.25/963.25 to the European high around 964.50. There will be
further resistance in front of 968.00 but a break through should set the
sights on the June high around 990.00. Near term support lies from today’s
low around 955.00 down to 946.00.

Silver market was strong early on taking out resistance at both 14.10 and the 50%
Fibonacci level at 14.35 on its way to a high of 14.46/14.49 before settling
around 14.27. Expect further resistance in front of 14.50 although a convincing
break should lead to a test of the 14.75/14.80 area. Near term
support should be found between 13.90 and 14.00.

Gold Silver Platinum Palladium

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Open 958.50/959.50 14.29/14.32 1,212 262.00

High 962.25/963.25 14.46/14.49 1,242 275.00

Low 954.50/955.50 14.24/14.27 1,205 261.35

Close 956.75/957.75 14.26/14.29 1,238 273.75

(Base) 959.75 14.380 1,215 268.00

Gold Silver Platinum Palladium

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Pivot 950.47 14.045 1,220 267.75

Primary Support (Buy) 938.43 13.605 1,198 260.50

Primary Resistance (Sell) 968.37 14.690 1,259 279.75

HBOP 998.30 15.775 1,320 299.00

LBOP 908.50 12.520 1,138 241.25

Bollinger Band Upper 966.21 14.292 1,242 272.86

Bollinger Band Mid 936.75 13.429 1,167 251.34

Bollinger Band Lower 907.29 12.566 1,092 229.81

Tips for trade:-

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Our technical section says there is more rise left in gold, siver and crude, copper market but we do not suggest buy in any trade now at this time because a lot of risk involved in it. The best trade we seek from now is to wait for rise and sell at that time. So wait for that time.