(Kitco News) - Gold and silver prices are solidly higher in midday U.S. trading Thursday, with gold hitting a more-than-two-week high. Chart-based buying is featured as the near-term technical postures for both metals have improved just recently. Buying support on this first trading day of 2025 is also coming from a rally in the crude oil market. February gold was last up $30.00 at $2,671.00 and March silver was up $0.738 at $29.975.
The key outside markets today see the U.S. dollar index sharply higher and hit a more-than-two-year high overnight. Gold and silver gains today are especially impressive given the strong rally in the greenback. It suggests that the usually daily divergent relationship between the USDX and the two precious metals is not strong at present and may continue that way. Nymex crude oil futures prices are solidly higher and trading around $73.50 a barrel. The yield on the benchmark 10-year U.S. Treasury note is on the rise and is presently around 4.6%.
Technically, February gold futures bulls have the overall near-term technical advantage. Bulls’ next upside price objective is to produce a close above solid resistance at $2,700.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at the December low of $2,596.70. First resistance is seen at $2,685.00 and then at $2,700.00. First support is seen at $2,650.00 and then at the overnight low of $2,636.10. Wyckoff's Market Rating: 6.0
March silver futures bears still have the overall near-term technical advantage. A nine-week-old downtrend is in place on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at $31.00. The next downside price objective for the bears is closing prices below solid support at the August low of $27.39. First resistance is seen at last week’s high of $30.485 and then at $31.00. Next support is seen at $29.50 and then at the December low of $29.145. Wyckoff's Market Rating: 4.0
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