Gold, Silver Prices Firmer Amid Shaky U.S. Stock Market
(Kitco News) - Gold and silver prices are modestly up in early U.S. trading Tuesday, supported by some mild safe-haven demand as the U.S. stock indexes have seen heavy selling pressure so far this week. December gold futures were last up $3.60 an ounce at $1,228.90. December Comex silver was last up $0.062 at $14.47 an ounce.
Global stock markets were also mostly lower overnight, following the solid losses posted in the U.S. stock indexes on Monday. Technology stocks are taking the brunt of the selling pressure recently. It still appears the U.S. stock indexes put in at least near-term tops last month, if not major market tops.
This week could see a quieter trading as the U.S. Thanksgiving holiday falls on Thursday. U.S. markets close early Wednesday, with Friday the “Black Friday” sale affair that finds many traders and investors out for the day, shopping for Christmas gift deals.
The key outside markets today find the U.S. dollar index trading firmer and not far below this month’s 1.5-year high. Meantime, Nymex crude oil futures prices are lower and not far above last week’s 11-month low.
U.S. economic data due for release Tuesday includes the weekly Johnson Redbook and Goldman Sachs retail sales reports, and new residential construction.
Technically, gold bears have the overall near-term technical advantage. Bulls’ next upside price objective is to produce a close in December futures above solid resistance at the November high of $1,239.30. Bears' next near-term downside price breakout objective is pushing prices below solid technical support at the September low of $1,184.30. First resistance is seen at the November high of $1,239.30 and then at the October high of $1,246.00. First support is seen at today’s low of $1,221.60 and then at Monday’s low of $1,218.50. Wyckoff's Market Rating: 3.5
December silver futures bears still have the solid overall near-term technical advantage. Silver bulls' next upside price breakout objective is closing prices above solid technical resistance at $14.50 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $13.50. First resistance is seen at $14.50 and then at $14.775. Next support is seen at last Friday’s low of $14.215 and then at $14.00. Wyckoff's Market Rating: 2.0.