Gold Prices Down, Market Needs A Catalyst To Shake The Summertime Blues
(Kitco News)- Goldprices are slightly down in early-afternoon U.S. trading Monday. Meantime, silverprices posted slim gains. Both metals visited both sides of unchangedtoday in lackluster summertime trading. December gold futures were last down$1.10 an ounce at $1,231.60. September Comex silver was last up $0.037 at $15.53an ounce.
Thegold and silver markets remain in the grips of the chart-based bears, and withno major fundamental news to drive the metals at present, prices will likelycontinue to drift sideways to lower. The safe-haven metals bulls need a jolt offresh, major news on the geopolitical front to create some new uncertainties.
Tradersand investors are looking ahead to this week’s central banker meetings in theU.S., Japan and the U.K. Only the Bank of England is expected to make anypolicy move-likely raising its interest rates slightly. The Federal Reserve’sFOMC meeting begins Tuesday morning and ends Wednesday afternoon with astatement.
Thekey “outside markets” today find Nymex crude oil prices solidly higher andtrading around $70.00 a barrel. The U.S. dollar index is lower today. Thebullish daily postures of these two markets did limit the downside in theprecious metals markets.
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![Live 24 hours gold chart [Kitco Inc.]](http://www.kitco.com/images/live/gold.gif?0.2924175530478188)
Technically,the gold bears have the solid overall near-term technical advantage. There areno strong, early clues to suggest a market bottom is close at hand. A 3.5-month-old downtrend is in place on thedaily bar chart. Gold bulls' next upside near-term price breakout objective isto produce a close above solid technical resistance at $1,250.00. Bears' nextnear-term downside price breakout objective is pushing prices below solidtechnical support at $1,200.00. First resistance is seen at Friday’s high of $1,236.50and then at last week’s high of $1,244.70. First support is seen at last week’slow of $1,226.30 and then at the July low of $1,221.00. Wyckoff's MarketRating: 1.5
![Live 24 hours silver chart [ Kitco Inc. ]](http://www.kitco.com/images/live/silver.gif)
Thesilver bears have the solid overall near-term technical advantage. There are noearly clues to suggest a market bottom is close at hand. Silver bulls' nextupside price breakout objective is closing prices above solid technicalresistance at $16.00 an ounce. The next downside price breakout objective forthe bears is closing prices below solid support at $15.00. First resistance isseen at last week’s high of $15.70 and then at $15.90. Next support is seen atlast week’s low of $15.34 and then at the July low of $15.185. Wyckoff's MarketRating: 2.0.
September N.Y. copper closed down 75 points at 279.45cents today. Prices closed nearer the session high. The copper bears have thefirm overall near-term technical advantage. Copper bulls' next upside priceobjective is pushing and closing prices above solid technical resistance at300.00 cents. The next downside price objective for the bears is closing pricesbelow solid technical support at the July low of 267.35 cents. First resistanceis seen at last week’s high of 283.70 cents and then at 285.00 cents. Firstsupport is seen at today’s low of 275.85 cents and then at 273.00 cents.Wyckoff's Market Rating: 2.5.
By Jim WyckoffFor Kitco News
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jwyckoff@kitco.comwww.kitco.com Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.