Gold  Comment 20/08/09

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9 day moving average - $945.31 14 day moving average - $950.62 40 day moving average - $940.31

Gold Report:

Gold closed $3.65 higher yesterday on the back of a renewed weakness in the US dollar and speculative buying as uncertainty about the overall strength of the economy is still lurking in the shadows. Some analysts pointed out the fragility of the commercial demand for gold at odds with investors buying on these dips. In addition to support from the US currency, gold was also boosted by higher crude oil prices as a result of an unexpected big drop in inventories.

The short and long term trends are bullish while the medium term trend is sideways.

Support: $931.70 (yesterday's low) Resistance: $952.20 (high of 12/08/09)

Support:$929.85 (low of 17/08/09) Resistance: $948.10 (high of 17/08/09)

Support:$925.37 (low of 29/07/09) Resistance: $945.30 (yesterday's high)

Silver Comment 20/08/09

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9 day moving average - $14.336 14 day moving average - $14.406 40 day moving average - $13.778

Silver Report:

Silver futures settled slightly lower as weakening industrial demand continues to pressure prices and having a much more important role than the white metal's store of wealth qualities. After a trip below the 40 days moving average reaching an intraday low of $13.488/oz silver ended well up at $14.030 as the greenback provided some support.

The short and long term trends are bullish while the medium term trend is sideways.

Support: $13.782 (40 day moving average) Resistance: $14.490 (high of 11/08/09)

Support:$13.488 (yesterday's low) Resistance: $14.225 (high of 18/08/09)

Support:$13.370 (low of 31/07/09) Resistance: $14.150 (yesterday's high)