RSSCategory: Articles: Gold Silver Prices

Gold Retreats from the Top of its Trading Range

Gold Retreats from the Top of its Trading Range

Nothing doing on gold being able to break out from its consolidation pattern. Last week I showed a chart with gold right at the very top of that range and working into a heavy resistance level. Today it failed to better that resistance and was shoved back lower meaning that the odds favor it working lower within that range from here as we wait for the next round of buying support to surface. It should be able to garner buying near $1600 initially on down towards $1585 should that not hold it. Keep in mind that this market must have a spark to take it up and out of this […]

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Gold Bullion seeing better sentiment

Gold Bullion seeing better sentiment

Dollar Gold Bullion prices climbed to $1625 per ounce during Monday morning’s London session, towards the higher end of gold’s trading over the last three months, while stock markets were broadly flat following news that Japan’s economic growth slowed sharply in the second quarter. Silver Bullion rallied to $28.18 an ounce – in line with last week’s close, after briefly dipping below $28. The cost of an ounce of Gold Bullion minus that of an ounce of platinum meantime breached $230 an ounce Monday, a new record high for the gold-platinum premium. “Sentiment [towards gold] has gotten better in the past few days with investors focusing on central banks,” says Dominic Schnider at UBS Wealth Management […]

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Weekend Update: Gold

Weekend Update: Gold

The weekly close above $1,620 was an important bullish development near term in my opinion.  What is so significant about this weekly close? If you look at the price action the prior eight days on the 30 minute chart (left hand side below) you can clearly see that an overwhelming majority of trades were placed beneath the $1,620 price level.  What makes this significant is because futures have a “long” and a “short” for every contract of “Open Interest”.  The bulk of contracts that were placed on the short side the past eight days are losing money.  If these short term traders in the “new” open interest are using leverage, they will begin to second guess their bearish […]

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Gold price and silver market update: beginning of August 2012

This article provides a short summary of the weekly “The Delaire Report”, by David Levenstein from Lakeshoretrading Gold price update The price of gold is holding $1600 an ounce as a key support level, despite the absence of additional monetary stimulus in Europe and the US. Although Mario Draghi, head of the European Central Bank, announced at the end of July he would do everything to preserve the euro, there are no concrete actions confirmed yet. In the US, the Fed Chairman acknowledged during the FOMC meeting at the beginning of August, that “economic activity decelerated somewhat in the first half of this year.” Interesting fact to mention: only one week earlier, Mr […]

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Looking for a silver lining

Looking for a silver lining

Investing in precious metals hasn’t been much of a fun ride lately. In late April of 2011, silver spiked to its still standing nominal high of $50, last reached over 30 years ago, back in 1980. Afterwards it plunged to about $32, before recovering to around $44 in September. At this time gold – which wasn’t nearly hit as hard in May and rallied to a new high of $1,920 in September – was up for the hammer drop and fell by 20% to $1,530. Expectedly, silver had to be dragged down with gold and got smashed to the $26 level for an almost 50% correction from its April highs. […]

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Gold Prices marking time until Fed Conference

Gold Prices marking time until Fed Conference

Gold Prices eased lower in Friday morning’s London trading, hovering around $1610 per ounce for most of the session, as stock markets also edged lower and US Treasuries gained, after trade data from China provided further signs of economic slowdown. China’s trade surplus fell by 20% month-on-month in July, with both import and export growth slowing, according to official data published Friday. “Monetary policy easing has to be more aggressive in the remainder of the year…[to avoid a] hard landing,” reckons Liu Li-Gang, Hong Kong-based head of Greater China economics at ANZ Bank. “Gold is trading broadly in line with other asset classes this morning as you see disappointment in […]

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Gold right at the Top of its Recent Trading Range

Gold right at the Top of its Recent Trading Range

Gold has pushed to the very top of its recent trading range as it works within the confines of its consolidation pattern noted on the chart below. It either mounts a solid breakout this time around or it will fall back towards $1600 and slightly below once again. I have noted that for the last 5 weeks or so, the lows have been slowly creeping higher hinting at market strength. It simply needs a spark, something to ignite it and push it past the strong selling pressure emerging between $1620 – $1630. Today’s strength is predicated on news out of China showing its economy slowing also. Traders are expecting the […]

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Gold pattern turning more bullish

Gold pattern turning more bullish

The consolidating “Symmetrical Triangle” has now morphed into a more bullish triangle.  An “Ascending Triangle” is the most bullish triangle pattern and we are somwhat in between.  There is a sign of increasing demand in the charts. In the near term the 30 minute chart has a “Concrete Ceiling” at $1,620.  There is a determined seller or sellers here lately.  However each time a resistance level gets tested, it get’s weakened.  The ceiling has cracks, and needs a few more hammers and chisels for this level to become strong support.  Basically from my perspective supply has been getting absorbed, and if the demand continues to deplete it, price will eventually launch. I […]

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Gold has foothold above $1600, China stimulus would be positive for Gold

Gold has foothold above $1600, China stimulus would be positive for Gold

Spot market prices to Buy Gold traded in a tight range around $1615 per ounce for much of Thursday morning in London – marginally above where they started the week – before dipping slightly around lunchtime, while stock markets also edged lower following gains earlier in the week. “Gold seems to have gotten a foothold above the $1600 level and seems to be relatively stable,” says Robin Bhar at Societe Generale “It’s still showing this correlation to riskier assets. We’ve seen a bit of a rally in the oil market and equities, and gold has kept a par with those moves.” Prices to Buy Silver also ticked lower towards the end of Thursday morning, […]

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Gold Buying Enjoying Popularity Again Despite Indian Monsoon Worries

Gold Buying Enjoying Popularity Again Despite Indian Monsoon Worries

Wholesale market prices for Buying Gold rose to $1616 per ounce Tuesday morning in London, their highest level so far this week, as commodity prices and stocks markets also edged higher, with the exception of the FTSE which was hit by allegations that one London-listed bank has hidden “secret transactions” from US regulators. “Gold appears to be enjoying increasing popularity again,” says Commerzbank’sCommodities Daily note. “There would appear to be brisk buying interest on the market below [$1600]…which should provide the price with a safety net.” The US Dollar Gold Price has remained within 3% of $1600 for virtually all of the last two months. “The market as a whole lacks conviction,” says Marc Ground, […]

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Still Room for Fed Easing – CFTC Set to Drop Silver Price Manipulation Probe

Still Room for Fed Easing – CFTC Set to Drop Silver Price Manipulation Probe

Both the gold and Silver Price posted gains Monday morning in London, with theGold Price hitting $1610 per ounce– a few Dollars up on where it ended last week – as stocks and the Euro also rallied, with analysts speculating on whether central banks will conduct further stimulus measures. “There is still room for [Federal Reserve] easing if it is required,” says David Jollie, analyst at Mitsui Precious Metals in London “There is still a perception that it may be required…the question of when that is, with the US elections approaching, makes it difficult to be super bullish on gold.” “We think the likelihood of further central bank moves remains high, particularly in […]

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Weekend Precious Metals Update (Gold and Silver)

Weekend Precious Metals Update (Gold and Silver)

I’m not ashamed to admit it; I took a net loss day trading gold since the breakout of the triangle pattern on the daily chart.  My trade setups were right, and there is ZERO regret.  Looking back I did nothing wrong.  While there is no way to control how much we make on a trade, we certainly can control our losses.  Any trader who thinks they can be right all the time is going to have a tough time with the ego, which leads to a host of psychological issues and down a path toward ruin.  My net loss in gold is less than 3/4 of one percent of the capital in my current trading account.  The potential reward was a […]

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Gold and Silver Continue Marking Time

Gold and Silver Continue Marking Time

Both Gold and Silver remain in consolidation patterns with tightening ranges as speculative HOT money flows which are exiting are being met by value-based buying and accumulation by stronger hands. The loss of speculative interest in the precious metals over the last few months can be seen by the steady decline in overall open interest (the number of contracts open). Generally speaking, whenever speculators are interested in establishing positions in a particular market, the open interest will rise. When they are not, the open interest will fall. Look at the following open interest chart of gold and tell me which of the two above-mentioned possibilities is occuring? Answer – speculative […]

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Gold Bullion Shrugs Off Nonfarms, But Still Records Weekly Loss

Gold Bullion Shrugs Off Nonfarms, But Still Records Weekly Loss

Gold Bullion prices climbed to $1596 per ounce during Friday morning’s London trading, recovering some ground following three days of losses, as stock markets also rebounded ahead of the release of US nonfarm payrolls data later today. Silver Bullion climbed back above $27.30 per ounce, in line with where it closed two weeks ago, while other industrial commodities also edged higher. Heading into the weekend, Gold Bullion looked set for a 1.7% weekly loss by Friday lunchtime in London. Gold Prices fell sharply on Wednesday following a better-than-expected ADP Employment report, a privately-produced precursor to today’s official nonfarms figure. Gold then fell again Thursday along with the Euro, after the […]

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