Image via Wikipedia
Another Choppy Week – GOLD CLOSES $8.20 HIGHER..($1379.20)
This week February Globex Gold covered a very volatile $47.30 range as traders prepare for the upcoming Holidays. The Gold market has run into strong technical resistance up at the $1400.00 level and this coupled with some year end profit taking has halted this latest ‘bull rally”…. Let us not forget that we are still in uncharted territory…. This recent sell-off has offered the opportunity to buy bullion at cheaper prices. I also believe many traders and investors are still concerned the Peoples Bank of China intends to raise interest rates prior to the end of the year… The Chinese are experiencing historically high commodity prices… If the Chinese Central does raise rates it should send both the Silver and Gold downward….If this becomes a reality I also believe there would “bargain hunting” buying globally! The Global economic climate has left many investors less than confident with the fiat currencies….
Silver has been following the Gold however, the Silver continues to hold its value better than the Gold during these mammoth sell-off days…The reason is simple. Silver has a dual status as it is not only a “precious metal” it is also an “industrial metal”. The demand for Silver is much greater as it is used in everything from coinage, water filters, electronics, jewelry, as well as solar panels…
These markets should remain volatile and choppy this week… Next week we will officially be in HOLIDAY MARKET mode through the end of the year….Next Friday is already Christmas Eve. Expect the volume in both metals to begin dropping the closer we get to the Holidays….TRADE SMART…USE STOPS….
ONLY 4 days to trade Gold next week…Holiday Friday (CLOSED)
Gold February Weekly
HIGH….$1408.90
LOW….$1361.60
Silver March Weekly
HIGH….$29.98.5
LOW….$28.35
SWING NUMBERS FEBUARY GOLD 12/20
RESISTANCE # 2……………$1390.00
RESISTANCE # 1……………$1385.00
PIVOT ………………………..$1375.00
SUPPORT # 1………………. $1369.00
SUPPORT # 2………………..$1361.00
SWING NUMBERS MARCH SILVER 12/20
RESISTANCE # 2…………..$29.75
RESISTANCE # 1…………..$29.44
PIVOT ………………………..$29.06
SUPPORT # 1………………$28.75
SUPPORT # 2……………….$28.37
Mike Daly / Gold Specialist
PFG BEST
mdaly@pfgbest.com
877-294-4669
312-563-8029
There is a substantial risk of loss in trading futures and options. Past performance is not indicative of future results. The information and data in this report were obtained from sources considered reliable. Their accuracy or completeness is not guaranteed and the giving of the same is not to be deemed as an offer or solicitation on our part with respect to the sale or purchase of any securities or commodities. PFGBEST, its officers and directors may in the normal course of business have positions, which may or may not agree with the opinions expressed in this report. Any decision to purchase or sell as a result of the opinions expressed in this report will be the full responsibility of the person authorizing such transaction.
