Bears Holding Gold Market In A Tight Grip
(Kitco News) - Gold prices are mildly down in early U.S. trading Monday, while silver prices are slightly higher. Both metals remain firmly in the grasp of the market bears, amid a lack of news that would drive demand toward the safe-haven metals. December gold futures were last down $1.60 an ounce at $1,231.10. September Comex silver was last up $0.022 at $15.515 an ounce.
World stock markets were mostly lower overnight. U.S. stock indexes are pointed toward narrowly mixed openings when the New York day session begins. It’s been quieter summertime trading in the Northern Hemisphere equities markets recently.
In focus this week will be central bank meetings of the U.S., the Bank of Japan and the Bank of England. Only the BOE is expected to make any policy move—raising its interest rates slightly. The FOMC meeting of the Federal Reserve begins Tuesday and ends Wednesday afternoon with a statement.
U.S. economic data due for release Monday includes pending home sales and the Texas manufacturing outlook survey.December futures above solid resistance at $1,250.00. Bears' next near-term downside price breakout objective is pushing prices below solid technical support at $1,200.00. First resistance is seen at Friday’s high of $1,236.50 and then at last week’s high of $1,244.70. First support is seen at Friday’s low of $1,226.30 and then at the July low of $1,221.00. Wyckoff's Market Rating: 1.5
September silver futures bears have the solid overall near-term technical advantage. Silver bulls' next upside price breakout objective is closing prices above solid technical resistance at $16.00 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $15.00. First resistance is seen at last week’s high of $15.70 and then at $15.90. Next support is seen at last week’s low of $15.34 and then at the July low of $15.185. Wyckoff's Market Rating: 1.5.