| INSIGNIA CONSULTANTS |
| Precious Metals Market Update for 21st May, 2007 |
| GOLD | SILVER |
| COMEX GOLD JUNE FUTURE -- $663.00 | COMEX SILVER JULY FUTURE -- $1307.00 |
| | Lower | Expected | Higher | | Lower | Expected | Higher |
| BUY | 652.60 | 657.00 | 666.60 | BUY | 1263.00 | 1297.00 | 1314.00 |
| SELL | 657.00 | 667.80 | 673.00 | SELL | 1295.00 | 1313.00 | 1332.00 |
| EXPECTED TRADING RANGE |
| GOLD JUNE -- $656..00 -- $671.50 | SILVER JULY -- $1277.0 - $1319.00 |
| COPPER AND CRUDE OIL -- EXPECTED TRADING RANGE |
| COPPER JULY -- $327.10.00 - $346.00 | NYMEX CRUDE OIL JULY - $62.00 - $66.00 |
| GOLD JUNE TECHNICAL LEVELS |
| SUPPORT | RESISTANCE |
| S1 | S2 | S3 | S4 | R1 | R2 | R3 | R4 |
| $647.40 | $652.10 | $654.80 | $659.90 | $663.30 | $670.20 | $675.90 | $679.10 |
| SILVER JULY TECHNICAL LEVELS |
| SUPPORT | RESISTANCE |
| S1 | S2 | S3 | S4 | R1 | R2 | R3 | R4 |
| $1,243.00 | $1,266.00 | $1,277.00 | $1,292.00 | $1,314.00 | $1,332.00 | $1,344.00 | $1,369.00 |
| COPPER JULY TECHNICAL LEVELS |
| SUPPORT | RESISTANCE |
| S1 | S2 | S3 | S4 | R1 | R2 | R3 | R4 |
| $299.30 | $310.20 | $318.80 | $326.70 | $337.20 | $345.50 | $352.20 | $358.80 |
| GENERAL MARKET CONDITIONS |
| Last week was a great week to witness a fight between bulls and bear in the commodity markets. |
| The key news was that of China widening the trading band of the yuan. This resulted in all the major |
| European and US equity indices closing between 0.50% to 1.00%. This week markets will be gauging |
| the effect of Chinese revaluation on positive effect on different countries and thereafter the make their |
| next move. |
| In the first half of the week there is lack of major market moving news which should result in a |
| technical trade instead of a momentum trade and if gold and silver holds major medium term |
| technical levels then we could once again test May’s high. Gold May future is expiring towards x |
| the close of the month. There are more long positions than short positions at this point. Nine trading s |
| ession left in May. Bears and fund managers will try their best to ensure a lower so that buyers close |
| their long positions and then they enter. |
| |
| DAILY TRADING STRATEGY |
| There should be technical recovery in gold and silver. It’s still a buy on dips strategy with a stop loss |
| of $652.00 for gold June and a stop loss of $1266 for silver July. If stop loses then expect another 3% |
| fall in gold and silver. |
| |
| GOLD -- JUNE FUTURE |
| Gold needs to close over $657.40 to prevent a fall to $646.00 and $631.10 over the coming weeks. |
| On the higher side only a break of $668 will result in gains to $674. |
| |
| SILVER -- JULY FUTURE |
| Silver needs to close over $1276 to prevent a fall to$1237. On the higher side $1314 is the initial |
| resistance with $1332 as the key resistance. |
| |
| Happy Profitable Trading |
| |
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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. |