Off The Wire
The gold price looks positive leading into the US open but silver could be the better option
(Kitco News) - Heading into the US sessions precious metals are performing well. Silver is one of the best-performing metals and trades just over 2% higher bested only by zinc (2.37%). As you can see from the 4-hour gold futures chart below, the price is still stuck between some key technical levels. The price did bounce off the bottom trendline but the resistance level at $1915 per ounce is still holding firm. If the bulls are to take control of the market then the downward sloping trendline and blue previous wave high at $1939 would need to be taken out. Keep an eye on these levels during the US session.
Silvers chart formation is much cleaner. This flag type pattern has been holding firm and there has been more volume in the move higher in silver. Now the previous wave high at $25.71 per ounce is the main target for the bulls. Beyond that, the top of the chart structure could be the next resistance zone.