RSSCategory: Articles: Gold Silver Prices

Caution ahead of the Fed

Caution ahead of the Fed

With all the hype preceding this week’s Fed meeting, not to mention the usual circus atmosphere surrounding some potential action from the ECB, my advice to both gold and silver traders is to be EXTREMELY CAUTIOUS. The market has worked itself into a tizzy in my view as it salivates at the further prospect of additional liquidity measures being undertaken by both Central Banks. When markets are in this state of mind, you will end up either being a HERO or a ZERO. In other words, you are now in the precarious position of having your fate determined by the roll of the dice. If you get it right, and […]

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Gold Prices could be under pressure from Central Bank Meetings

Gold Prices could be under pressure from Central Bank Meetings

Gold Prices held steady above $1620 per ounce during Tuesday morning’s London trading, while stocks and commodities were also broadly flat and major government bond prices ticked higher with markets looking ahead to key central bank policy decisions later in the week. Silver Prices meantime hit a four-week high at $28.47 per ounce. “With wider markets setting the flow direction for [gold] bullion, underlying demand for the metal remains soft and has barely provided any significant direction,” says a note from Swiss precious metals refiner MKS. “Gold may come under some pressure in the run-up to this week’s central bank meetings,” adds a note from Australian and New Zealand bank ANZ, referring […]

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Pressure and energy building in gold market

Pressure and energy building in gold market

Gold and silver had solid finishes to the end of last week, with the yellow metal posting another positive weekly run – settling at $1,621, at the top end of the channel in which it has been trading for close to three months now. Silver had a wild session, starting around $27.50 before gaining around 30 cents, then losing 40 cents in one crazy hour of selling early afternoon, before recouping some of these losses on rumours of fresh liquidity injections from the European Central Bank, to close the week just shy of $27.70. Eric De Groot has some good new technical analysis of the gold price. As his charts […]

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Gold Bullion Investors Playing Waiting Game Ahead of ECB and Fed Meetings

Gold Bullion Investors Playing Waiting Game Ahead of ECB and Fed Meetings

Gold Bullion prices dipped below $1620 per ounce during Monday morning’s London session – slightly below where they ended on Friday – while stocks gained and US Treasuries fell, with markets focused on key monetary policy decisions due later in the week. Silver Bullion hovered around $27.70 an ounce – in line with last week’s close – while other commodities were also broadly flat. German 2-Year government bond yields hit a new record low this morning, falling further below zero to -0.096% ahead of an auction of Italian 10-Year debt. German bund yields then climbed higher, although remained in negative territory, after Italy successfully sold just under €5.5 billion of […]

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Weekend Update: Gold Breakout

Weekend Update: Gold Breakout

Gold made a breakout from a significant multipoint triangle consolidation pattern, see right hand chart below.   The main focus for me going into next week is on long trade setups in GC in the smaller degree timeframe as long as we are above the breakout area.  The pressure next week should be on the bears. What is important to mention is that I do not have any plan to put on an intermediate term trade until the major upper trendline of the dominant “descending triangle” pattern has been taken out with authority. I have no issues paying up in order to increase my probabilities for longer term success. In the near term, […]

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Gold Bullion Prices Testing Important Level

Gold Bullion Prices Testing Important Level

The past 48 hours the stocks market has been on verge of a major meltdown in my opinion. The people with power who manipulate the markets are trying their hardest to hold prices up. Yesterday we saw rumors about the Fed I the WSJ that they wanted to do more easing ASAP. That news could not have come at a better time as it saved the day/markets from more heavy selling. That news also helped prop gold bullion prices up. Take a look at the 4 hour candle stick chart for a visual: Now look at what Mario Draghi’s comments have done with spot gold prices in the daily chart […]

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Breakout in Gold

Breakout in Gold

Those who may have to unwind a losing leveraged short position are in a really bad spot. There is not enough volume to confirm a breakout, but Comex hasn’t opened yet. This is a significant multipoint trendline and the Bears have a herculean task ahead of them to reverse this near term change in trend, especially if the volume picks up as price moves higher.   I believe the most probable area of next resistance is around the $1650, which is both a prior “high volume node”, and also where it would intercept a major descending trendline in the bigger picture.   My most previous post on gold and a view of the bigger picture trendline can be found […]

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Gold Clears $1600 – Psychological Boost to Bulls

The ability of the gold market to push a “16” handle on the price can be considered a minor victory for the bulls. You can see from the chart below, that within its broader consolidation pattern, gold had been experiencing a somewhat tightening or constricting of its range. The upper boundary of that “mini-pattern” has been the $1600 level. The ability of the bulls to take it through this region gives them a very slight advantage over the bears in the immediate term and provides the possibility of a push towards more stubborn resistance beginning near the $1620 level. Keep in mind that every bit of today’s move higher was predicated […]

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Gold Prices and Euro Edge Higher, Fed Moving Closer to more QE

Gold Prices and Euro Edge Higher, Fed Moving Closer to more QE

Gold Prices rallied above $1590 per ounce Wednesday morning in London – moving within 2% of July’s high – as European stock markets edged upwards despite Spanish government borrowing costs hitting new record highs. Silver Prices rallied to $27.20 per ounce – though unlike gold, silver remains down on the week so far. The Euro rallied against the Dollar in early European trading, following a press report that suggested the Federal Reserve could be moving closer to more monetary stimulus. On the commodities markets prices were broadly flat this morning. Platinum continued to trade below $1400 an ounce, with the gap between platinum and Gold Prices bigger than at any time since January. The […]

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Precious Metals Succumbing to Deflationary Forces Today

Precious Metals Succumbing to Deflationary Forces Today

Both Gold and Silver are under selling pressure today as the sell off in the grains seems to have pushed a large amount of hot money out of the commodity sector. Soybeans are currently locked at limit down as is the front month corn contract. Talk that Smithfield is importing corn from Brazil has sent supply side bulls scurrying for cover and demand side bears are pressing their case. The pool in the July was 112K at one time and is now down to 26K currently. In the November Beans, the pool is at 37K as I write this. Traders had been bidding up commodities in general of late as […]

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Euro Gold Prices Making Gains on Dollar Strength

Euro Gold Prices Making Gains on Dollar Strength

Gold Prices drifted down to $1573 per ounce Tuesday morning in London – a few Dollars above last week’s low – as stocks and commodities also ticked lower, while US Treasuries were flat and German bunds fell after Germany’s credit rating was placed on negative outlook. Silver Prices briefly dipped below $27 per ounce – 1.2% below where they began the week. On the currency markets, the Euro briefly dropped below $1.21 for the second day in a row, while Euro Gold Prices hovered around €1300 per ounce – 3.2% off its six-month high. The Gold Price in Euros has gained 8% since the middle of May. “Thanks to the Euro’s depreciation vis-a-vis the US Dollar, […]

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US Debt Reaching Bubble Like Territory

US Debt Reaching Bubble Like Territory

Treasuries are climbing parabolically as a supposed safe haven as the European debt crisis remains at center stage.  Spain’s debt yields are reaching a record and Moody’s is lowering their credit rating outlooks on Germany, Netherlands and Luxembourg.  Capital is seeking a safe place to hide. Many are choosing the U.S. dollar and U.S. treasuries as the Fed continues manipulating long term treasuries through Operation Twist until at least the end of the year.    This has come aftertwo rounds of $2.3 trillion dollars of QE.  This was supposedly set up to stimulate the global economy.  So far this has not happened. We have an inflated treasury market and an […]

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Silver is looking over the edge…

Silver is looking over the edge…

Silver is looking over the edge of what looks like the “Grand Canyon” on the 1 year daily chart, see right hand side below. I have highlighted the past three month price action on the daily chart, see left hand side below.  In the near term these trendlines in the recent price action are key reference areas for me. Should the lower “minor” trendline support break on that 3 month chart, the big deal will then become the $26 horizontal price level or MAJOR SUPPORT. I am a strong believer in precious metals as money, savings, and an insurance vehicle, and I have also been looking to buy for the intermediate and long term, this […]

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Stronger Dollar the Great Danger to Gold Bullion Prices

Stronger Dollar the Great Danger to Gold Bullion Prices

Gold Bullion prices quoted on the wholesale market fell to $1569 per ounce Monday morning in London – 0.9% off where they closed last week – as stocks, commodities and the Euro also traded lower and US Treasuries gained, following news that two Spanish regions plan to ask for bailouts. Silver Bullion fell to $26.88 an ounce – a 1.9% drop on where it ended Friday. Volumes of Gold Bullion held by exchange traded funds (ETFs) saw net losses last week, while on the currency markets this morning the Euro hit a new two-year low against the Dollar Monday, dropping below $1.21. As a result, the US Dollar Index, which measures the Dollar’s strength […]

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