Gold, Silver, Crude Oil + Copper Trading
Feb Gold futures prices ended US pit trade with gains and closed near the session high. The market was boosted by some technically related buying and by a weaker USD Index.
Gold was under mild selling pressure early in the session, but traders stepped in to Buy the Dip and that pushed prices back above unchanged.
Feb Gold last traded + 1.40 at 1,657.00 oz.
Spot gold was last quoted + 5.20 at 1,657.25 oz.
Mar Comex Silver last traded + 0.235 at 30.37 oz.
The US Dollar Index came under selling pressure on profit taking again on Wednesday. But, the index is trading not far below last week's 16-month high. The Dollar index Bulls still have the solid overall near-term technical advantage and that is still a somewhat Bearish weight for Gold. However, the stronger USD has been less of a Bearish factor for Gold recently, as the precious Yellow metal has seen better safe-haven demand surface in the New Year.
Crude Oil prices traded steady Wednesday. Crude Oil will remain an important outside market factor for precious metals.
Recent stronger physical demand coming out of Asia has been a Bullish factor for the Gold market.
There have been no major, fresh market-moving developments coming out of the European Union debt crisis recently. There were well-received bond auctions in Germany and Portugal Wednesday, which further assuaged investor uncertainty about the EU debt crisis. The general market may now think the worst is behind us regarding the EU crisis. The overall EU debt and financial crisis remains a major underlying Bullish factor for Gold.
The London P.M. Gold fixing was 1,647.00 vs. the prior P.M. fixing of 1,656.00.
Feb Gold futures prices closed nearer the session high and closed at a new 5-week high close Wednesday. The Gold Bulls have the overall near-term technical advantage now. A 3-week-old up-trend is in place on the daily bar chart.
The Bulls' next upside technical breakout objective is to produce a close above psych resistance standing at 1,700.00.
The Bears' next near-term Southside price objective is closing prices below psych support at 1,600.00.
1st resistance is seen at this week's high of 1,668.00 and then at 1,675.00.
1st support is seen at 1,650.00 and then at Wednesday's low of 1,642.10.
Mar Silver futures prices closed nearer the session high Wednesday and closed at a new 5-week high on the close. Silver Bulls have the slight near-term technical advantage now. A 3-wk-old up-trend is in place on the daily bar chart.
The Bulls' next upside price breakout objective is closing prices above solid technical resistance at 32.50 oz. The next Southside price breakout objective for the Bears is closing prices below solid technical support at last week's low of 28.55.
1st resistance is seen at last week's high of 30.675 and then at 31.00.
1st support is seen at Wednesday's low of 29.74 and then at this week's low of 29.455.
March NY Copper closed + 225 pts 375.20 cents Wednesday. Prices closed near the session high and closed at a new 2.5-month high close. The Copper market was supported by a weaker US Dollar index Wednesday.
Copper Bulls have the near-term technical advantage. Prices are in a 4-week-old up-trend on the daily bar chart.
The Copper Bulls' next upside breakout objective is pushing and closing prices above solid technical resistance at the October high of 376.80 cents.
The next Southside price breakout objective for the Bears is closing prices below solid technical support at 350.00 cents.
1st resistance is seen at 376.80 cents and then at 380.00 cents.
1st support is seen at 370.00 cents and then at 367.40 cents.
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. www.livetradingnews.com