- Gold spot - we wrote: outlook remains negative despite some stability yesterday.
- Gold - lower yesterday as expected as we tested best support for this week at 1879/75. Longs needed stops below 1870.
- Silver - we wrote: holding first resistance at 2380/90 for a sell signal targeting 2340/35 and minor trend line support at 2300/2295.
Today's Analysis
Gold hit all downside targets as far as best support for this week at 1879/75. Longs need stops below 1870. A break lower is an important medium term sell signal initially targeting 1955/53, 1850 and 1844/42, perhaps as far as strong support at 1838/35. Longs at 1879/75 target 1890 and 1906/09. If we continue higher, look for resistance at 1920/25.
Silver holding first resistance at 2380/90 for a sell signal targeting 2340/35 (hit) and minor trend line support at 2300/2295. A low for the day is certainly possible today. Longs need stops below 2290. A break lower is another important sell signal with a 100 tick drop possible. Shorts at first resistance at 2380/90 stop above 2410. An unexpected break higher is a buy signal targeting 2440/50.