-- Posted Friday, 10 February 2006 | Digg This Article

 

GOLD	SILVER
COMEX GOLD APRIL FUTURE -- $567.50	COMEX SILVER MARCH FUTURE -- $964.00
EXPECTED TRADING RANGE
GOLD -- $548.00 -- $585.00	SILVER -- $946.00 - $995.00
COPPER AND CRUDE OIL -- EXPECTED TRADING RANGE
COPPER MARCH -- $226.60 - $240.60	NYMEX CRUDE OIL FEBRUARY - $61.20 - $66.27
MULTI COMMODITY EXCHANGE OF INDIA (MCX)
GOLD APRIL FUTURE/10 GRAMS	SILVER MARCH FUTURE/KG
Rs.8020 - Rs.8340	Rs.13420 - Rs.13780
COPPER MARCH FUTURE	CRUDE OIL FEBRUARY FUTURE
Rs.224.20 - Rs.250.40	Rs.2752 - Rs.2970
GENERAL MARKET CONDITIONS
Gold and silver are back in familiar territory as April future rose to a high of $572.30 while silver March future rose to a high of $971.50 in Asian trade. Physical demand was the highest in India over the past two days in 2006 as dealers stocked themselves up. It’s more of the investment demand that is helping gold and silver to continue to rally. The US dollar continued to trade in a range while there was a strong demand at the newly introduced 30 year treasuries.  Gold and silver need to fall and stabilize a bit a lower levels to generate higher physical and investment demand. Gold and silver may get overheated if they continue their rally to $625.000 and $1100.00 respectively. There will be investment demand at higher levels. The bank of Japan will sooner or later raise interest rates in 2006 and Japanese investors know that the free money which they are getting over the past ten to fifteen years will come at a cost soon. Japanese investors will desperately try to perk up commodities or any financial instrument and make a quick buck. They did it to the Euro in 2005, to the commodities in 2005 and 2006. Japanese are one of the most suspicious and conservative investors in the world and do their homework before investing. But when they invest they control that market. The Japanese are to a certain extent are instrumental in the current commodity rally. They were last to invest in Indian equities but when they started investing the Bombay Stock Exchange (BSE) crossed 10,000 and makes history. Gold and silver prices are dependent on Eastern investors. There is lack of major market moving news today other than the US trade deficit number for December. Overall bullish trend remains intact unless gold closes below $560.00 and silver closes below $950.00.
GOLD
Gold is back to usual territory and targets $580 and $600.00 once again. On the lower side $548.00 and $540.00 are strong support. A short term double bottom has been formed in the charts at $546.00.
SILVER
Silver is once again within firing distance of $1000.00 and $1050.00. On the lower side $952.00 and $926.00 are the key support levels.
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Disclaimer : Any opinions as to the commentary, market information, and future direction of
prices of specific currencies, precious metals, base metals, or equity indices reflect the views
of the individual analyst, In no event shall Insignia Consultants or its employees  have any liability
for any losses incurred in connection with any decision made, action or inaction taken by any
party  in reliance upon the information provided in this material; or in any delays, inaccuracies,
errors in, or omissions of Information.

-- Posted Friday, 10 February 2006 | Digg This Article

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