-- Posted Tuesday, 27 November 2007 | Digg This Article | Source: GoldSeek.com

GOLD				SILVER
COMEX GOLD FEBRUARY FUTURE -- $832.30				COMEX SILVER -- MARCH FUTURE -- $1480.0
EXPECTED TRADING RANGE
GOLD FEBRUARY 08   -- $810.0 -- $847.00				SILVER  MARCH 08  -- $1440.0 - $1550.00
COPPER AND CRUDE OIL -- EXPECTED TRADING RANGE
COPPER MARCH 08   -- $288.00 - $316.00				NYMEX CRUDE OIL   - $96.35 - $102.60
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COPPER MARCH TECHNICAL LEVELS
SUPPORT				RESISTANCE
S1	S2	S3	S4	R1	R2	R3	R4
$269.00	$277.00	$287.60	$292.30	$307.60	$311.50	$317.60	$320.00
GENERAL MARKET CONDITIONS
Base metals have been knocked down in November over fears that a slowdown in global growth will result in lower demand in 2008. Zinc prices have fallen nearly fifty percent over the past one year. Nickel is also trading near multi months lows while copper has fallen but still over 2007 lows. Base are for the high risk taking investor. Those investors who risk appettite is low should opt for gold. At the current levels, zinc particularly looks an attractive investment as I do not expect prices to fall more than fifteen percent from the current prices over the next few months. On every decline the risk to return ratio is in favour of the buyer for zinc trader and investor. The only risk to zinc prices is severe shrinkage in global liquidity which has been factored by the markets.
Fundamentally lead is the most bullish base metal after steel. Lead demand in 2008 will continue to rise. India is an energy deficient country. There are power cuts every now and then (except in major metro cities). Business establishment have installed generators and invertors to ensure uninterrupted power. An invertor uses a lead battery. Demand for lead battery in India will rise for the next few years. Cars and other motor vehicles use lead battery. Automobile demand in India will rise sharply in 2008 on lower cost of financing. The current correction in lead is due to reduction in speculative interest, a bottom should be formed soon and lead should test 2007 high soon.
It will be another volatile day for precious metals. December future expiry of gold, silver and copper and rollover will result in spread getting wider. Lower stop losses for day traders will be useless.
COPPER -- MARCH FUTURE
Copper has been holding key long term support of $282 and needs to break $308.40 for $321 and $335. Copper should bottom out this week.
NYMEX CRUDE OIL --  FUTURE
Crude oil can test $109 and $122 as long as $92 holds.
HAPPY PROFITABLE TRADING
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 Tuesday, 27 November 2007 | Digg This Article | Source: GoldSeek.com

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