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Technical Precious Metals
Written by article default Tuesday, 14 June 2011 08:59
Morning Report
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Gold slipped respecting the harmonic scenario suggested on Friday since the imperfection of the correction for XA leg couldn't damage the bearish harmonic Gartley pattern. Now, gold is trading below 38.2% of CD leg clarifying that the bearishness will continue over intraday basis towards 61.8% level at 1502.00. As far as trading remains below 1537.00, the bearishness will be in favor, while areas of 1549.00 should hold to protect the scenario.
The trading range for today is among the key support at 1494.00 and key resistance now at 1549.00.
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 | 1519.00 | 1513.00 | 1505.00 | 1500.00 | 1494.00 |
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| Resistance | 1523.00 | 1532.00 | 1537.00 | 1549.00 | 1556.00 |
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| Recommendation | Based on the charts and explanations above our opinion is, selling gold around 1523.00 targeting 1502.00 and stop loss with a daily closing above 1537.00 might be appropriate. | ||||
Silver
Morning Report
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Yesterday's aggressive decline is very normal due to the impulsive nature of C wave of the suggested ZZ wave. Momentum indicators reflect clear overbought case but MACD supports the technical idea of resuming the bearishness over intraday basis. Stability below 35.65-35.40 might send the metal towards 33.90 where a break of which will take us towards 33.05 zones.
The trading range for today is among the key support at 33.05 and key resistance now at 36.80.
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 | 34.80 | 34.50 | 34.35 | 33.90 | 33.60 |
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| Resistance | 35.00 | 35.65 | 36.15 | 36.35 | 36.80 |
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| Recommendation | Based on the charts and explanations above our opinion is, selling silver around 35.00 gradually targeting 33.90 and 33.05 , while the stop loss is a daily closing above 36.35 might be appropriate. | ||||
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