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UPDATE: Metals exhaling before the next move

Commentaries & Views

With jobs numbers out tomorrow morning at 8.30 am ET, traders should be ready to face volatility. The below hourly charts are a zoomed-in version of what we presented yesterday, updated with price action.

We can see the highlighted support zone held for gold, which has threatened to break out higher again as of this writing.

Silver has not gone on to make a higher high, and is forming a bearish rising channel, within a wedge, and it looks like it can break either way. However, it is not uncommon for gold to need to "drag" silver higher in the beginnings of a trending move up.

We continue to believe that should jobs data disappoint, USD will likely sell off as the market reprices interest rate expectations given a "data dependent" Fed. Should the numbers meet or beat expectations, the opposite may occur with a revisit of price into the support zones shown in the charts above, before metals make a push to higher highs still.

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.