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Gold, Silver Prices Pressured By Bearish Outside Markets

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(Kitco News) - Gold and silver prices ended the U.S. day session moderately lower Wednesday. The precious metals saw downside corrections following the good gains scored Tuesday. The key “outside markets” were also in a bearish daily posture for the metals today, as the U.S. dollar index was firmer and crude oil prices were sharply lower.April Comex gold futures were last down $8.00 an ounce at $1,327.20. May Comex silver was last down $0.274 at $16.51 an ounce.

Today’s ADP national employment report for February showed a rise of 235,000, which was above forecasters expectations for a rise of 200,000. Gold prices dipped a bit more on the news. Today’s ADP report suggests Friday’s more important jobs report from the U.S. Department of Labor will come in strong, too.

World stock markets were mostly lower today, including U.S. stock indexes. The stock, financial and currency markets were somewhat spooked after White House chief economist Gary Kohn announced his resignation amid the increasingly protectionist rhetoric coming from U.S. President Donald Trump.

The resignation of Kohn suggests Trump is pushing forward with his plan to slap tariffs on imported aluminum and steel. Kohn’s departure heightened the speculation that there is keen turmoil presently in the White House west wing. Such is presently not impacting the safe-haven gold market significantly, however.

Live 24 hours gold chart [Kitco Inc.]

Technically, April gold futures prices closed nearer the session low today. The gold bulls have the slight overall near-term technical advantage, but need to show fresh power soon to keep it. Gold bulls' next upside near-term price breakout objective is to produce a close above solid technical resistance at $1,350.00. Bears' next near-term downside price breakout objective is pushing prices below solid technical support at $1,300.00. First resistance is seen at today’s high of $1,342.00 and then at $1,350.00. First support is seen at this week’s low of $1,318.30 and then at $1,309.00. Wyckoff's Market Rating: 5.5

Live 24 hours silver chart [ Kitco Inc. ]

May silver futures prices closed nearer the session low today and gave back most of Tuesday’s big gains. The silver bears have the overall near-term technical advantage. Silver bulls' next upside price breakout objective is closing prices above solid technical resistance at the February high of $17.04 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $16.00. First resistance is seen at $16.75 and then at this week’s high of $16.895. Next support is seen at this week’s low of $16.37 and then at the March low of $16.16. Wyckoff's Market Rating: 4.0.

May N.Y. copper closed down 255 points at 313.35 cents today. Prices closed near mid-range today. The copper bulls have the overall near-term technical advantage. Copper bulls' next upside price objective is pushing and closing prices above solid technical resistance at the February high of 329.05 cents. The next downside price objective for the bears is closing prices below solid technical support at the February low of 304.65 cents. First resistance is seen at today’s high of 315.85 cents and then at this week’s high of 317.80 cents. First support is seen at today’s low of 311.75 cents and then at this week’s low of 309.55 cents. Wyckoff's Market Rating: 6.0.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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