(Kitco News,  Mon. Dec 5th, 2022) – Gold and silver prices are near unchanged levels in early U.S. trading Monday, as gold hit a 3.5-month high and silver a seven-month high. The precious metals bulls are enjoying the near-term technical advantage, which is likely to continue to invite chart-based buyers to the long side of the markets in the near term. February gold was last up $1.00 at $1,810.00 and March silver was up $0.025 at $23.28.

Global stock markets were mixed overnight. U.S. stock indexes are pointed toward weaker openings when the New York day session begins. The marketplace has digested last Friday’s stronger-than-expected U.S. jobs report that reinforced notions the Federal Reserve will have to keep in place its tightening of monetary policy for some time to come, in order to slow U.S. economic growth and reduce problematic price inflation.

The key outside markets today see the U.S. dollar index slightly lower after hitting a 3.5-month low Friday. Nymex crude oil prices are higher and trading around $82.00 a barrel. As of Monday, the European Union and the U.K. have barred inbound shipments of crude oil from Russia and put a cap of $60 a barrel on EU companies doing business facilitating Russian oil shipments elsewhere in the world. At a meeting over the weekend the OPEC oil cartel lefts its collective crude oil production unchanged. Meantime, the yield on the benchmark U.S. 10-year Treasury note is presently 3.515%.

Will $1,800 bring the gold bulls back? Analysts look for follow-through buying next week

U.S. economic data due for release Monday includes the U.S. services purchasing managers index (PMI), the global services PMI, the ISM report on business services, the employment trends index, and manufacturers’ shipments and inventories.

Live Gold Price
Dec 05, 2022 11:44 NY Time

Technically, the gold futures bulls have the firm overall near-term technical advantage. Prices are in a four-week-old uptrend on the daily bar chart. Bulls’ next upside price objective is to produce a close in February futures above solid resistance at the August high of $1,836.70. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at $1,750.00. First resistance is seen at the overnight high of $1,822.90 and then at $1,836.70. First support is seen at $1,800.00 and then at $1,782.90.

The silver bulls have the solid overall near-term technical advantage. A choppy, three-month-old uptrend is in place on the daily bar chart. Silver bulls’ next upside price objective is closing March futures prices above solid technical resistance at $25.00. The next downside price objective for the bears is closing prices below solid support at $21.00. First resistance is seen at today’s high of $23.69 and then at $24.00. Next support is seen at $23.00 and then at $22.50.

Posted by:

Jack Dempsey, President

401 Gold Consultants LLC

jdemp2003@gmail.com