Price gains for gold, silver on technical buying

Asian and European stock indexes were mixed to weaker overnight. U.S. stock indexes are pointed to slightly higher openings when the New York day session begins. The U.S. stock indexes have made solid rebounds from their August lows.

The key outside markets today see the U.S. dollar index firmer. Nymex crude oil prices are slightly up and trading around $74.75 a barrel. The benchmark 10-year U.S. Treasury note is presently fetching 3.831%.

U.S. economic data due out Thursday includes the weekly jobless claims report, the second estimate of second-quarter GDP, including the inflation indexes, advance economic indicators, and pending home sales. Traders are also looking ahead to Friday’s personal income and outlays report, including its inflation gauges that Fed officials monitor very closely.

Technically, December gold bulls have the solid overall near-term technical advantage. Bulls’ next upside price objective is to produce a close above solid resistance at $2,600.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at $2,475.00. First resistance is seen at this week’s high of $2,564.30 and then at the contract high of $2,570.40. First support is seen at the overnight low of $2,538.40 and then at this week’s low of $2,527.80.

September silver futures bulls have the overall near-term technical advantage as prices are in an uptrend on the daily bar chart. Silver bulls’ next upside price objective is closing prices above solid technical resistance at $31.00. The next downside price objective for the bears is closing prices below solid support at $28.00. First resistance is seen at $30.00 and then at this week’s high of $30.225. Next support is seen at this week’s low of $29.08 and then at last week’s low of $28.795.

Posted by:

Jack Dempsey, President

401 Gold Consultants LLC

jdemp2003@gmail.com