|Day's Range||15.35 - 15.60|
The Silver markets turned around during the week, breaking towards the $15.50 level. However, it should be noted that we are at the 50% retracement level based upon the explosive breakout, so I think this is simply value offering itself.
The S&P 500 rallied during the day on Friday, slicing through a significant amount of resistance, and it now looks as if we are going to head towards the 2700 level. If we can close decisively above the 50 day EMA, pictured in red, that’s a good sign.
The crude oil markets rallied a bit during the trading session on Friday, reaching towards the crucial resistance levels just above. It looks as if the recovery is still very much intact.
Natural gas markets fell a bit during the day on Friday, breaking below the 20 day EMA. This is a market that has to fill the gap underneath, and I think that’s exactly what we will see you.
Gold prices tumbled on Friday as the dollar gained traction, following a stronger than expected US industrial production report. The better than expected number pushed the 10-year yield back to 2.79% up from 2.75%. Gold prices dropped and held mid-day near the 20-day moving average seen near 1,282. Momentum has turned negative as the MACD (moving average convergence divergence) index generated a crossover sell signal.
Investing.com - Sharp bouts of price gains are likely in oil as Saudi Arabia ratchets up efforts to raise the visibility of OPEC's output cuts. But patience may also be key for oil producers, with the West's energy watchdog anticipating any market recovery to be more gradual than immediate.
Gold managed to retain foothold above $1280 handle but faced sharp losses as renewed risk appetite in the broad market on hopes of a positive outcome in Sino-U.S trade talks.
Silver markets pulled back a bit during the trading session on Thursday, as we approach the 20 day EMA. This of course is a supportive moving average, and an area where I think a lot of people will be interested in the markets.
The US dollar has pulled back during early trading on Thursday, as the ¥109 level has offered significant resistance. By pulling back the way it has, the market looks very likely to continue to chop between the 100 a young level underneath and the ¥109 level above.
Safe haven demand sustains gold bulls as headlines continues to inspires risk averse trading activity in major global markets.
Gold prices moved higher on Wednesday ahead of the no confidence vote in the UK. While May is widely expected to remain the Prime Minister, there is no clear cut plan on how to move forward. UK core inflation came in stronger than expected but the headline remains soft due to declining petroleum prices. Medium term momentum has turned negative as the MACD (moving average convergence divergence) index generated a crossover sell signal.
Based on the early price action, the direction of the March E-mini NASDAQ-100 Index futures contract the rest of the session is likely to be determined by trader reaction to a pair of Gann angles at 6713.00 and 6716.50.
A round of better than expected bank earnings has the US equity futures moving higher in the early morning session. The financial sector led the EU market at midday with gains averaging 1.0%. The Shanghai Composite closed with no movement, 0.0%, for the day while the Hong Kong Heng Seng and Shenzen markets both saw small gains.
Yesterday Theresa May suffered a great defeat in the Parliament Brexit vote. It caused high volatility of the GBP. However, the British currency still has chances to recover
The gold prices are continuing its move around the $1290 level as it is facing extreme resistance in breaking above the psychologically important $1300 level. If it breaks above the $1300 level, then it can reach towards the $1400 level in the long term, with some selling at every $25 until it reaches there. The $1250 level underneath is strong and hard support for the market and is unlikely to breach. …Read MoreSilver
Natural gas prices whipsawed consolidating Monday’s gain as colder than normal weather continues to forecast higher heating demand. The weather over the next 2-weeks is expected to be much colder than normal throughout most of the mid-west according to the latest forecast from the National Oceanic atmospheric Administration. Supplies of natural gas are rising but they are offset by higher LNG exports. The cold weather will continue to add to the upside risks.Technical Analysis
The silver market went back and forth during the trading session on Tuesday, as we continue to see a lot of noise. The silver market will continue to be very noisy, but I do think that we are winding up for a bigger move.
The major indices were indicated to open higher to start but quickly gave up those gains after the release of earnings from JP Morgan. In the EU markets were cautious on the expectation the UK Parliament would not accept Theresa May’s contentious Brexit deal.
The recent breakouts beyond key resistance levels on the charts used to follow the precious metals market suggest that prices are headed higher.
Gold trades in red on profit booking activity and high risk appetite but downside was limited owing to caution surrounding brexit.
Silver markets continue to grind a bit sideways during the trading session on Monday, as we try to build up enough momentum to continue the upward move that we have seen over the last couple of weeks.
The US dollar has fallen against the Japanese yen during the trading session on Monday as traders came back to work. Ultimately, it looks as if the ¥108 level will offer support though, so I think that there is a lot of interest in this area.
The bias seems to be to the downside so look for a move into support. Since the trend is up, buyers are likely to come in on a test of these levels.
Based on the early price action, the direction of the February Comex gold futures contract the rest of the session is likely to be determined by trader reaction to the 50% level at $1289.20.