Gold

In spite of the upside move, we may not see an extension of this move especially when Stochastic is in overbought areas and 50-Day EMA is a Strong barrier ahead.

As shown on the chart below, you see the Bullish 0-5 harmonic pattern, but the CD leg did not confirm its completion as the metal did not make the 1656.00 mark, which is the ideal barrier for the pattern to be completed.

So, now I expect the metal to reverse to the Southside to complete the downside movement, a breach of 1700.00 is necessary to support expectations. Consolidation above 1727.00 weakens the expectations.

The trading range Friday is between the Key support at 1657.00 and Key resistance now at 1740.00.

The short-term trend is to the Northside with steady weekly closing above 1475.00 targeting 1945.00 eventually.

Support: 1700.00, 1694.00, 1688.00, 1673.00, 1662.00

Resistance: 1706.00, 1711.00, 1718.00, 1727.00, 1735.00

Recommendation Based on the charts and explanations below the POV is selling Gold below 1700.00, and take profit in stages at 1657.00 and stop loss with 4-Hour closing above 1727.00 might be prudent. Stay tuned...

Silver

Despite the Bullish attempts on Thursday, Silver is still stable below 34.40, which suggests the return of the Southside movement to continue the Butterfly harmonic pattern.

Stochastic provide a positive crossover, while RSI attempts to settle above the 50-Point mark, which weakens the possibility of the Southside movement.

So, a consolidation below 33.30 is necessary for the Southside movement to return and for momentum indicators to be relieved from the positivity.

The trading range for Friday is among the Key support at 31.25 and Key resistance now at 34.40.

The short-term trend is to the Southside with steady weekly closing below 38.00 targeting 20.05 eventually

Support: 33.65, 33.40, 33.15, 33.00, 32.80

Resistance: 34.40, 34.65, 34.80, 35.05, 35.75

Recommendation Based on the charts and explanations below, the POV is selling Silver below 33.75, and take profit in stages at 32.80 and 31.75 and stop loss with 4-Hour closing above 34.40 may be prudent. Stay tuned...

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.