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Gold, silver see steady price action, awaiting fresh inputs

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(Kitco News) - Gold and silver prices are not far from unchanged in early U.S. trading Wednesday. Traders are awaiting new fundamental developments to move the precious metals markets. December gold futures were last up $0.10 at $1,793.50. December Comex silver was last down $0.013 at $24.075 an ounce.

Global stock markets were mostly weaker in overnight trading. The U.S. stock indexes are pointed to slightly lower openings when the New York day session begins. The major U.S. stock indexes this week have hit record highs. The indexes have made impressive recoveries from their early-October lows. Traders and investors remain upbeat amid third-quarter corporate earnings reports that are mostly beating market expectations. There are storm clouds on the horizon, however. China’s economic growth has slowed as the world’s second-largest economy deals with an overheating housing sector, resurgent Covid-19 cases in some regions, and an energy crisis that has produced shortages of some key raw materials—not only in China but also in nations that China supplies with those materials.

Tensions between the U.S. and China have up-ticked at mid-week, following reports the U.S. banned China’s biggest telecommunications operator, China Telecom, from doing business in the U.S.

The key outside markets today see the U.S. dollar index slightly lower. Crude oil prices are lower and trading around $83.60 a barrel. Meantime, the 10-year U.S. Treasury note yield is presently fetching 1.591%.  

U.S. economic data due for release Wednesday includes the weekly MBA mortgage applications survey, durable goods orders, the advance economic indicators report, and the weekly DOE liquid energy stocks report.

Live 24 hours gold chart [Kitco Inc.]

Technically, December gold futures bulls have the overall near-term technical advantage as prices are in a four-week-old uptrend on the daily chart. Bulls’ next upside price objective is to produce a close above solid resistance at the September high of $1,836.90. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $1,750.00. First resistance is seen at $1,800.00 and then at this week’s high of $1,811.50. First support is seen at this week’s low of $1,783.00 and then at $1,775.00. Wyckoff's Market Rating: 6.0

Live 24 hours silver chart [ Kitco Inc. ]

The silver bulls have the overall near-term technical advantage. Prices are in a four-week-old uptrend on the daily bar chart. Silver bulls' next upside price objective is closing December futures prices above solid technical resistance at $25.00 an ounce. The next downside price objective for the bears is closing prices below solid support at $23.00. First resistance is seen at the overnight high of $24.285 and then at this week’s high of $24.695. Next support is seen at the overnight low of $23.905 and then at $23.615. Wyckoff's Market Rating: 6.0.

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.