Gold rallies on safe-haven bids, short covering

(Kitco News, Tuesday. Nov. 19th, 2024) – Gold prices are higher and silver near steady in midday U.S. trading Tuesday. Safe-haven buying is featured in gold early this week as geopolitics has heated up, prompting keener risk aversion. Short covering from the shorter-term futures traders is also featured in gold and silver markets this week, following the recent declines. December gold was last up $15.80 at $2,630.20 and December silver was up $0.016 at $31.245.

Reports overnight said Ukraine carried out a first strike on a border region in Russia using Western-supplied longer-range missiles. Meanwhile, Russian President Putin signed a decree allowing Russia to fire nuclear weapons in response to a massive conventional attack on Russia.

The key outside markets today see the U.S. dollar index near steady. Nymex crude oil futures prices are down just a bit and trading around $69.00 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently fetching around 4.35%.

Technically, December gold bears have the slight overall near-term technical advantage. However, a price downtrend on the daily bar chart is now in jeopardy. Bulls’ next upside price objective is to produce a close above solid resistance at $2,700.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at the November low of $2,541.50. First resistance is seen at the overnight high of $2,643.40 and then at $2,650.00. First support is seen at the overnight low of $2,614.20 and then at $2,600.00.

December silver futures bears have the slight overall near-term technical advantage. Prices are still trending down on the daily bar chart. Silver bulls’ next upside price objective is closing prices above solid technical resistance at $33.00. The next downside price objective for the bears is closing prices below solid support at the November low of $29.75. First resistance is seen at $31.66 and then at $32.00. Next support is seen at $31.00 and then at $30.75.

Posted by:

Jack Dempsey, President

401 Gold Consultants LLC

jdemp2003@gmail.com