opinion

UPDATE: Metals exhaling before the next move

Kitco Media
By Jonathan Da Silva
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Updated:
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With jobs numbers out tomorrow morning at 8.30 am ET, traders should be ready to face volatility. The below hourly charts are a zoomed-in version of what we presented yesterday, updated with price action.

We can see the highlighted support zone held for gold, which has threatened to break out higher again as of this writing.

Silver has not gone on to make a higher high, and is forming a bearish rising channel, within a wedge, and it looks like it can break either way. However, it is not uncommon for gold to need to "drag" silver higher in the beginnings of a trending move up.

We continue to believe that should jobs data disappoint, USD will likely sell off as the market reprices interest rate expectations given a "data dependent" Fed. Should the numbers meet or beat expectations, the opposite may occur with a revisit of price into the support zones shown in the charts above, before metals make a push to higher highs still.

Kitco Media

Jonathan Da Silva

Jonathan Da Silva developed a passion for hard money and economics from a young age having been influenced by family who sought to teach me that "nothing is free", and the importance of intrinsic value early on. My interest in markets grew keener during the great financial crisis of 2008; leaning on family with vast trading experience, I began to self-educate on technical analysis and economics- drawing inspiration from the works of individuals like W.D. Gann and Adam Smith. I have been a proud member of the Kitco team since 2017 and hope that my writing inspires readers to consider an objective view of the metals, and the greater financial markets.

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