-- Posted Thursday, 19 April 2012 | | Disqus
Executive Summary
· Be prepared for big moves in gold and silver any time.
· Gold and silver are in a neutral zone
· Gold needs to fall below $1636 or break $1666 for direction
· Silver will break free from $3090-$3250 range and for a new range any time. Be prepared for big moves
Europe is in focus today also as markets wait for the Spain debt auction. Investors are more concerned over the multiplier effect which Spain, Italy and Greece together have on the policies of the eurozone and eurozone growth. Just remember that changing the policies is never easy for a central bank as it is public unfriendly. It will move at a snails pace. Whether its Spain or India it’s the same. Euro/usd can trade with a softer bias but will rise in the fourth quarter.
Japan will slash its crude purchases from Iran by almost 80 percent in April compared to the first two months of the year as buyers comply with Western sanctions. Sanctions will never work for Iran. Sanctions are just a penultimate move before an armed attack. We have seen this with Iran, Egypt or Libya. Iran should also be attacked by the USA and its NATO allies. Russia does not have guts to use veto power in UN security council. Crude oil prices may not rise even if Iran is attacked. Some European automakers have also closed operations in Iran yesterday. Most of the European companies are shutting their operations in Iran. NATO allies are giving their citizens and companies to move away from Iran so that an armed attack can be done on Iran. I am very sure that Iran does not have nuclear technology which can be used for military purposes. Iraq even did not had one. USA and its NATO allies just want to take over Iran’s huge natural resources.
TODAY
Technically gold, silver, copper and crude oil are in a neutral zone. We prefer a buy on dips strategy in gold and silver with a stop loss of $1628 and $3090. Only if the stop loss is hit that one should sell.
COMEX TECHNICAL VIEW
COMEX SILVER MAY 2012 – current price $3159
Trading Strategy: Bullish target $3213-$3300
Bullish over $3148 with $3236-$3296 as price target
Bearish below $3110 with $3090-$29990 as price target
Neutral Zone between: $3110-$3148
Break point: $3155 and $3213
- Silver will break free from $3090-$3220 range and form a new range. Be prepared for $200 move any time.
- Trading call: Buy around $3130 stop loss below $3085 for $3210-$3330
Disclaimer: Any opinions as to the commentary, market information, and future direction of prices of specific currencies, metals and commodities 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. Nothing in this article is, or should be construed as, investment advice.
Disclosure: Insignia consultants or it employees do not have any trading positions on the trading strategies mentioned above. Our clients do have positions on the trading strategies mentioned in the above report.
Happy profitable trading
NOTES TO THE ABOVE REPORT
PLEASE NOTE: HOLDS MEANS HOLDS ON DAILY CLOSING BASIS
PLEASE USE APPROPRIATE STOP LOSSES ON INTRA DAY TRADES TO LIMIT LOSSES.
APPROPRIATE STOP LOSSES PER LOT IN US DOLLARS ON THE TRADING CALLS GIVEN IN THIS REPORT
COMEX GOLD – $15-$17
COMEX SILVER: $25-$30
COMEX COPPER: $3
NYMEX CRUDE OIL: $0.60
SPOT SILVER: $0.25
SPOT GOLD: $15-$17
THE TIME GIVEN IN THE REPORT IS THE TIME OF COMPLETION OF REPORT
Customer care: 9311139549
-- Posted Thursday, 19 April 2012 | Digg This Article
| Source: GoldSeek.com
