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Technical Precious Metals
Written by article default Monday, 13 June 2011 07:05
Weekly Report 13/06 – 17/ 06/ 2011
In line with our previous suggested Gartley pattern, the metal moved downwards although the pattern is not ideal. Now, RSI 14 is moving below 50.00; while trading below 1549.00 with a daily closing keeps the PRZ of the pattern valid. The bearishness is in favor and technical targets are seen at 1522.00, followed by 1502.00. If 1522.00 holds, Gartley will be limited and Bat will be activated via touching the second PRZ.
The trading range for this week is among the key support at 1494.00 and key resistance now at 1581.00.
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 with weekly closing.
| Support | 1523.00 | 1513.00 | 1505.00 | 1500.00 | 1494.00 |
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| Resistance | 1537.00 | 1549.00 | 1556.00 | 1560.00 | 1564.00 |
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| Recommendation | Based on the charts and explanations above our opinion is, selling gold around 1537.00 gradually targeting 1522.00 and1513.00 while the stop loss is a daily closing above 1549.00 might be appropriate. | ||||
Silver
Weekly Report 13/06 – 17/ 06/ 2011
Back to the previous proposed Elliott count, the price is moving downwards confirming C wave of ZZ wave. Hence, more bearishness could be seen as far as trading remains below 37.40; while 38.90 protects the bearishness. Momentum indicators reflect an oversold case and that might cause fluctuations but we don't think the direction will be changed.
The trading range for this week is among the key support at 31.25 and key resistance now at 38.90.
The general trend over short term basis is to the downside targeting 26.65 as far as areas of 48.50 remain intact with weekly closing.
| Support | 35.50 | 35.35 | 34.85 | 34.35 | 33.90 |
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| Resistance | 36.35 | 36.85 | 37.00 | 37.45 | 38.05 |
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| Recommendation | Based on the charts and explanations above our opinion is, selling silver around 36.35 gradually targeting 35.35,34.85 and 33.90 , while the stop loss is a daily closing above 37.40 might be appropriate. | ||||
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