US Gold futures finished pit trade modestly lower on Monday. The market consolidated, and saw a downside price correction on the charts following big and impressive price gains posted Friday.
The Gold market Bulls still have upside near-term technical momentum, and will need to follow-through to keep it.
Aug Gold last traded -6.70 at 1,615.20 oz.
Spot Gold was last quoted -12.30 at 1,614.50 oz.
Jul Comex Silver last traded - 0.452 at 28.06 oz.
The stock market was uneasy on Monday, but the overall tone was not as bad as it might have been. This week is important for the precious metals and other markets.
There are 2 Key events traders await: A European Central Bank officials meeting Wednesday and US Federal Reserve Chairman Ben Bernanke's testimony before US lawmakers Thursday.
The market wonders if the US and EU will talk more easing on the back of the weak US economic data. Some polls conducted by the media say market watchers put odds at more Fed easing in the coming months at 80/30 for QE-3.
The Chinese economic data is also in focus, and is overall Bearish on raw commodities.
The USD index traded lower Monday after hitting a nearly 2-yr high Friday. There is still safe-haven demand for the Greenback.
The Dollar index Bulls have Northside near-term technical momentum.
Nymex Crude Oil futures were slightly higher on Short covering after hitting an 8-month low a 81.21 bbl overnight. Crude Oil is in Bearish overall fundamental and technical mode.
Paul A. Ebeling, Jnr.
Paul A. Ebeling, Jnr. writes and publishes The Red Roadmaster's Technical Report on the US Major Market Indices, a weekly, highly-regarded financial market letter, read by opinion makers, business leaders and organizations around the world.
Paul A. Ebeling, Jnr has studied the global financial and stock markets since 1984, following a successful business career that included investment banking, and market and business analysis. He is a specialist in equities/commodities, and an accomplished chart reader who advises technicians with regard to Major Indices Resistance/Support Levels.