-- Posted Friday, 8 June 2007 | Digg This Article

GOLD	SILVER
COMEX GOLD AUGUST FUTURE -- $665.40	COMEX SILVER JULY FUTURE -- $1353.00
EXPECTED TRADING RANGE
GOLD AUGUST -- $652.00 -- $677.20	SILVER  JULY  -- $1312.0 - $1382.00
COPPER AND CRUDE OIL -- EXPECTED TRADING RANGE
COPPER JULY   -- $326.10.00 - $342.00	NYMEX CRUDE OIL  JUNE    - $65.20 - $68.20
GENERAL MARKET CONDITIONS
A complete U turn on US interest rate outlook resulted in sell off on bonds, equities, commodities, currency markets and every financial instrument. I had mentioned previously that lower treasury yields is one of the reason for increase in investor risk appetite. Yesterday yields rose and the sell off came. A direct correlation between treasury yields and risk appetite.  The futures curve is pricing in a greater chance of a rate hike than a rate cut at this point.  Expectations of higher interest rates resulted in the sell off. This is something which I have been mentioning time and gain in my reports. Managing volatility and coping with will be the key in 2007. Days like yesterday and February 27 will come over and over gain in 2007. We have more than two hundred days in 2007 (including Saturdays and Sundays). Liquidity globally is at a historical peak. The Central banks are not solely responsible for creating excess liquidity. Technology is partly responsible as it has enabled investors to switch from investment to another in a flash of a second.   Nickel was the worst performer yesterday. A few days back I had mentioned that we could a sell off any time in nickel due to cyclical factors which happened yesterday and could continue today. Copper and Zinc look weak but are able to hold on to their key technical supports. Gold and silver have been holding on to their key medium term technical supports and only a lower close today will result in further sell off next week.
GOLD -- AUGUST FUTURE
Gold needs to hold $662.90 to prevent further losses to $657.60 and $651.40. On the higher side the earlier support of $671.40 is the initial resistance with $678. as the key resistance.
SILVER -- JULY  FUTURE
Silver needs to hold $1339 to prevent further losses to $1314 and $1292. On the higher side $1374 is the initial resistance with $1386 as the key resistance.
Happy Profitable Trading
FOR ACTUAL AND FULL REPORTS please register on our new website www.insigniaconsultants.in  for a free  trial service for an indepth analysis on metals and energies along with intra day and positional trading calls on MCX. NCDEX and COMEX and other INTERNATIONAL markets. SMS on Mobiles, FAX and MESSENGER service also available.
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, 8 June 2007 | Digg This Article

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

Previous Articles by Chintan Karnani, Insignia Consultants

© 1995 - 2019

Live GoldSeek Visitor Map | Disclaimer