Members login
Technical Precious Metals
Written by article default Tuesday, 03 May 2011 09:27
Morning Report
Click on the image for a larger view
Gold declined violently touching 1537.00 zones which are very close to yesterday's detected areas of 1523.00. The proposed Elliott scenario is confirmed more since the bearish candlesticks formation are negative. Trading below 1580.00 will keep the bearish direction valid; whilst a four hour closing below 1565.00 will indicate that the metal is forming the fourth wave.
The trading range for today is among the key support at 1514.00 and key resistance now at 1580.00.
The general trend over the short term basis is to the upside targeting 1600.00 per ounce as far as areas of 1430.00 remain intact.
| Support | 1545.00 | 1537.00 | 1530.00 | 1523.00 | 1514.00 |
|
|
|||||
| Resistance | 1556.00 | 1560.00 | 1565.00 | 1575.00 | 1580.00 |
|
|
|||||
| Recommendation | Based on the charts and explanations above our opinion is, selling gold around 1556.00 gradually targeting 1537.00 and 1523.00, while the stop loss is a daily closing above 1565.00 might be appropriate. | ||||
Silver
Morning Report
Click on the image for a larger view
The metal fluctuated aggressively yesterday but it came back below the major resistance line of the ascending channel. Trading below this resistance argues us to say that the fifth wave of the IM formation is over. All what we need now is a daily closing below the lower line of Bollinger bands to confirm this negative possibility. Conversely, areas of 47.85 should hold with a daily closing below it to keep this scenario valid.
The trading range for today is among the key support at 40.60 and key resistance now at 48.10.
The general trend over short term basis is neutral until we see how the price will behave around 42.05-42.30 during this week.
| Support | 45.10 | 44.85 | 44.68 | 44.35 | 43.85 |
|
|
|||||
| Resistance | 45.50 | 46.05 | 46.85 | 47.30 | 47.85 |
|
|
|||||
| Recommendation | Based on the charts and explanations above our opinion is, selling silver around 45.50 gradually targeting 43.85,42.05 and 40.60, while the stop loss is a daily closing above 47.85 might be appropriate. | ||||