Gold Slightly Down on Chart Consolidation
(Kitco News) - Gold prices are slightly lower in early U.S. trading Thursday, on some “backing and filling” on the charts amid a quieter world marketplace late this week. Meantime, silver prices are trading near steady but hit another 2.5-month high overnight. The current technical postures for both precious metals are tilted in favor of the bulls. June Comex gold futures were last down $1.80 an ounce at $1,351.80. May Comex silver was last up $0.002 at $17.25 an ounce.
World stock markets were mixed in subdued trading overnight amid a lack of major news developments. U.S. stock indexes are pointed toward slightly lower openings when the New York day session begins.
The key “outside markets” on Thursday morning see the U.S. dollar index trading slightly lower. Nymex crude oil prices are higher, hit another 3.5-year high, and are trading above $69.00 a barrel. Oil traders are awaiting an OPEC meeting that takes place on Friday.
U.S. economic data due for release Thursday includes the weekly jobless claims report, the Philadelphia Fed business survey, and leading economic indicators data.
Technically, June gold bulls have the firm overall near-term technical advantage. Gold bulls' next upside near-term price breakout objective is to produce a close above solid technical resistance at the January high of $1,375.50. Bears' next near-term downside price breakout objective is pushing prices below solid technical support at the March low of $1,309.30. First resistance is seen at this week’s high of $1,359.00 and then at $1,362.60. First support is seen at Wednesday’s low of $1,345.00 and then at $1,340.00. Wyckoff's Market Rating: 6.5
May silver futures bulls have the overall near-term technical advantage. Silver bulls' next upside price breakout objective is closing prices above solid technical resistance at the January high of $17.785 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $16.50. First resistance is seen at the overnight high of $17.32 and then at $17.50. Next support is seen at $17.00 and then at $16.89. Wyckoff's Market Rating: 6.5.