Gold, Silver Slightly Down; Bulls Try To Stabilize Markets
(Kitco News) - Gold Prices were ending the U.S. day session slightly down Tuesday after dropping to a seven-week low in the early going. Silver prices were also a bit weaker after hitting a seven-week low on Monday. The bulls are working very hard to stabilize these two markets after recent solid selling pressure that has been mainly due to little risk aversion in the world marketplace and a stronger U.S. dollar. December Comex gold was last down $1.50 an ounce at $1,273.20. December Comex silver prices were last down $0.014 at $16.64 an ounce.
World stock markets were mostly firmer Tuesday, with U.S. stock indexes slightly up in early-afternoon trading. The S&P 500 indexscored another record high today, to underscore risk appetite is back in the marketplace despite geopolitics and this being the historically troublesome month of October.
The U.S. dollar index was slightly lower in afternoon trading Tuesday, but did hit a six-week high in earlier dealings. Greenback bulls still have momentum as prices have been trending higher for three weeks. Meantime, the Euro currency continues to slump and hit a seven-week low today.
The other key outside market on Tuesday saw Nymex crude oil futures slightly lower. Prices last week hit a five-month high and then backed off Monday on profit taking. While the oil bulls still have the overall near-term technical advantage, there are stiff chart resistance layers above the recent high.
Technically, December gold futures prices closed near mid-range and hit a seven-week low today. A rebounding U.S. dollar index is pressuring the gold market. Bears have the overall near-term technical advantage. A steep three-week-old downtrend is in place on the daily bar chart. Gold bulls' next upside near-term price breakout objective is to produce a close above solid technical resistance at $1,300.00. Bears' next near-term downside price breakout objective is pushing prices below solid technical support at $1,250.00. First resistance is seen at this week’s high of $1,282.80 and then at $1,290.00. First support is seen at today’s low of $1,271.00 and then at $1,265.00. Wyckoff's Market Rating: 4.0
December silver futures prices closed near mid-range and closed at a seven-week low close today. The silver bears have the overall near-term technical advantage. Prices are in a three-week-old downtrend on the daily bar chart. Silver bulls' next upside price breakout objective is closing prices above solid technical resistance at last week’s high of $17.295 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $16.00. First resistance is seen at $16.90 and then at $17.00. Next support is seen at this week’s low of $16.565 and then at $16.50. Wyckoff's Market Rating: 4.0.
December N.Y. copper closed up 55 points at 296.10 cents today. Prices closed nearer the session high today. The copper bulls have the overall near-term technical advantage, but trading has been choppy recently. Copper bulls' next upside price objective is pushing and closing prices above solid technical resistance at the September high of 317.85 cents. The next downside price objective for the bears is closing prices below solid technical support at 280.00 cents. First resistance is seen at 300.00 cents and then at 302.50 cents. First support is seen at today’s low of 292.60 cents and then at the September low of 289.40 cents. Wyckoff's Market Rating: 6.0.