February gold futures closed up $22.00 an ounce at $1,677.50 yesterday. Prices closed near the session high yesterday and were supported by bullish “outside market” forces that included a sharply lower U.S. dollar index and higher crude oil prices. Heavy short covering and bargain hunting were seen yesterday. The gold bears still have the slight overall near-term technical advantage. A three-month-old downtrend is still in place on the daily bar chart. However, the bulls on Thursday did gain some fresh upside near-term technical momentum to begin to suggest that a market bottom is in place. The gold bulls’ next upside price breakout objective is to produce a close above solid technical resistance at last week’s high of $1,695.40. Bears’ next near-term downside breakout price objective is closing prices below solid technical support at last week’s low of $1,626.00. First resistance is seen at $1,685.00 and then at $1,695.40. First support is seen at 1,666.00 and then at yesterday’s low of $1,653.80. Wyckoff’s Market Rating: 4.5
March silver futures closed up $0.656 an ounce at $30.91 yesterday. Prices closed near the session high yesterday. Silver was supported by bullish “outside market” forces that included a sharply lower U.S. dollar index and higher crude oil prices. Heavy short covering and bargain hunting were seen yesterday. The silver bears still have the slight overall near-term technical advantage. However, the bulls have gained fresh upside technical momentum to suggest that a near-term market low is in place. Bulls’ next upside price breakout objective is closing prices above solid technical resistance at last week’s high of $31.535 an ounce. The next downside price breakout objective for the bears is closing prices below solid technical support at last week’s low of $29.24. First resistance is seen at $31.00 and then at $31.25. Next support is seen at $30.535 and then at yesterday’s low of $30.255. Wyckoff’s Market Rating: 4.5.
March N.Y. copper closed up 395 points at 371.00 cents yesterday. Prices closed near the session high yesterday. Copper was supported by bullish “outside market” forces that included a sharply lower U.S. dollar index and higher crude oil prices. Copper bulls have the overall near-term technical advantage. Prices are in a two-month-old uptrend on the daily bar chart. Copper bulls’ next upside breakout objective is pushing and closing prices above solid technical resistance at last week’s high of 375.90 cents. The next downside price breakout objective for the bears is closing prices below solid technical support at 365.00 cents. First resistance is seen at 372.10 cents and then at 375.00 cents. First support is seen at 370.00 cents and then at 367.50 cents. Wyckoff’s Market Rating: 6.5.
