Gold December future is trading in $573.50-$586.50 range while silver December future is trading in $1105-$1155 range and a break out is in the offing soon. Gold and silver are being dictated by a combination of crude oil prices and the US dollar in the absence of major market moving news. Spot gold has so far managed to hold $570 as the crude oil rose and the US dollar weakened after the US trade balance numbers. Crude oil prices and the US dollar are concerned both are showing signs of a short term bottom. Most of the hedge funds are short on the US dollar and if the US dollar continues its gains today, there could liquidation of short US dollar positions by them. However if US dollar re starts its weakness from the current levels gold and silver will also rise.
The world's fifth largest reserves of gold and copper were discovered in Chaghi area in Pakistan's southwest Balochistan province. 200,000 tons of copper and 400,000 ounce of gold will be produced annually through the said project. These mines will not be enough to ease the supply squeeze or reduce investment interest.
Cautious optimism is all I can comment on gold and silver for the short term, despite being in neutral zone. Today’ s close is very important for gold and silver and a close over the 200 day moving averages of $599 and $1120 will result in $609 ad $1240 next week.
GOLD -- DECEMBER FUTURE
A break of $586.50 will result in re test of $600 and $614. On the lower side $574.20 is the initial support with $562.60 as the key short term support.
SILVER -- DECEMBER FUTURE
Silver needs to break and hold 1152 and $1184 for $1220 and $1256. On the lower side $1124 is the initial support with $1105 as the key short term support. Only a consolidated fall below $1105 will result in further losses to $1078 and $1055.
Happy Profitable Trading & A Great Weekend
For SMS and Yahoo support please mail at sms@insigniaindia.com
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 employeeshave any liability
for any losses incurred in connection with any decision made, action or inaction taken by any
partyin reliance upon the information provided in this material; or in any delays, inaccuracies,
1080-81, Ugger Sen Street,”Somani Bhawan”
Sita Ram Bazar, New Delhi-110006. India.
Ph: [O] 91-11-30919880 [M] 09811139549
Website: www.insigniaindia.com
Email: chintan@insigniaindia.com
The content on this site is protected
by U.S. and international copyright laws and is the property of GoldSeek.com
and/or the providers of the content under license. By "content" we mean any
information, mode of expression, or other materials and services found on GoldSeek.com.
This includes editorials, news, our writings, graphics, and any and all other
features found on the site. Please contact
us for any further information.
Live GoldSeek Visitor Map | Disclaimer
The views contained here may not represent the views of GoldSeek.com, Gold Seek LLC, its affiliates or advertisers. GoldSeek.com, Gold Seek LLC makes no representation, warranty or guarantee as to the accuracy
or completeness of the information (including news, editorials, prices, statistics,
analyses and the like) provided through its service. Any copying, reproduction
and/or redistribution of any of the documents, data, content or materials contained
on or within this website, without the express written consent of GoldSeek.com, Gold Seek LLC,
is strictly prohibited. In no event shall GoldSeek.com, Gold Seek LLC or its affiliates be
liable to any person for any decision made or action taken in reliance upon
the information provided herein.
