December Comex gold futures hit a fresh two-month high and closed at a significantly bullish monthly high close on Tuesday. Fresh speculative and technical related buying interest, and some safe-haven buying, were featured Tuesday. December gold last traded up $12.30 an ounce, at $1,251.50. Spot gold was last quoted up $13.60 an ounce at $1,250.50.

A weaker U.S. dollar index added to the buying interest in gold Tuesday. Worries about the Tuesday afternoon FOMC meeting minutes that could show additional Federal Reserve concern about U.S. economic weakness also prompted some fresh safe-haven buying interest in gold.

Precious metals traders are awaiting Friday's U.S. employment report, which is expected to show the key non-farm payrolls figure to be down 123,000 in August, following a decline of 131,000 jobs in July. The unemployment rate is forecast to come in at 9.6% from the July reading of 9.5%. Look for more active trading in the precious metals and other markets in the immediate aftermath of Friday morning's jobs data.

The London P.M. gold fixing was $1,246.00 versus the previous P.M. fixing of $1,235.00 an ounce.

From an important technical perspective, December gold futures closed near the session high, scored a bullish "outside day" up on the daily bar chart and posted a significantly bullish monthly high close Tuesday. Bulls gained fresh upside technical momentum Tuesday and are now poised to challenge the all-time high of $1,270.60, scored in June. Gold market bulls have the solid overall near-term technical advantage. Prices are in a five-week-old uptrend on the daily bar chart. Bulls' next near-term upside technical objective is to produce a close above solid chart resistance at $1,270.60. Bears' next near-term downside price objective is closing prices below solid technical support at last week's low of $1,211.70. First resistance is seen at Tuesday's high of $1,251.80 and then at the May high of $1,255.10. Support is seen at last week's high of $1,246.00 and then at $1,240.00. Wyckoff's Market Rating: 8.0.

December silver futures closed up 33.6 cents at $19.41 an ounce Tuesday. Prices closed near the session high, hit a fresh 2.5-month high, scored a bullish "outside day" up on the daily bar chart and closed at a bullish monthly high close. A weaker U.S. dollar and the rally in gold boosted silver Tuesday. Silver bulls have the solid near-term technical advantage and gained more upside momentum Tuesday. The next downside price objective for the bears is closing prices below solid technical support at Tuesday's low of $18.86. Bulls' next upside price objective is closing prices above solid technical resistance at the June high of $19.55 an ounce. First resistance is seen at Tuesday's high of $19.445 and then at $19.55. Next support is seen at $19.30 and then at $19.20. Wyckoff's Market Rating: 7.5.

December N.Y. copper closed down 570 points at 337.25 cents Tuesday. Prices closed nearer the session low and saw some profit-taking pressure from recent good gains. Prices on Monday hit a fresh four-month high. The bulls still have upside near-term technical momentum to suggest more gains are in the offing in the near term. Bulls' next upside objective is pushing and closing prices above solid technical resistance at 350.00 cents. The next downside price objective for the bears is closing prices below solid technical support at last week's low of 320.00 cents. First resistance is seen at Tuesday's high of 340.80 cents and then at 343.05 cents. First support is seen at Tuesday's low of 335.65 cents and then at 332.50 cents. Wyckoff's Market Rating: 6.5.

By Jim Wyckoff, contributing to Kitco News; jwyckoff@kitco.com

Editor’s Note: Meet the Kitco News Team at the upcoming Kitco Metals eConference September 12-13, 2010. A not-to-be missed event featuring Ron Paul, Marc Faber and other industry heavyweights. The eConference is free with Pre- Registration www.kitcoeconf.com.

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