by Jim Wyckoff, Senior Analyst TraderPlanet.com
April gold futures closed down $4.50 at $926.30 today. However, after the market closed and in electronic trading gold did rally and hit a fresh contract and all- time high of $942.20 this afternoon, in the wake of the Federal Reserve’s 50 basis point interest rate cut. The bulls are still technically very strong amid no strong clues that a market top is close at hand. Bulls’ next upside price objective is to produce a close above major psychological resistance at $1,000.00. Bears’ next downside price objective is closing prices below major psychological support at $900.00. First resistance is seen at today’s contract and all-time high of $942.20 and then at $945.00. Support is seen at $930.00 and then at $925.00.
Wyckoff’s Market Rating: 9.0.
March silver futures closed down 4.0 cents at $16.76 an ounce today. After the market closed and in afternoon electronic trading prices did rally modestly and set a fresh contract high and a fresh 28-year high of $16.96. Silver bulls have the solid near-term technical advantage. Bulls’ next upside price objective is closing prices above psychological resistance at $17.00 an ounce. The next downside price objective for the bears is closing prices below solid support at $16.40. First resistance is seen at today’s contract high of $16.96 and then at $17.00. Next support is seen at today’s low of $16.645 and then at $16.50.
Wyckoff’s Market Rating: 9.0
MARCH NY COPPER
March N.Y. copper closed down 725 points at 322.65 cents today. Prices closed nearer the session low. U.S. economic recession worries will limit the upside in copper for at least the near term. Bulls’ next upside objective is closing prices above solid technical resistance at the January high of 337.85 cents. The next downside price objective for the bears is closing prices below solid technical support at this week’s low of 311.65 cents. First resistance is seen at today’s high of 329.75 cents and then at this week’s high of 331.85 cents. First support is seen at today’s low of 321.70 cents and then at 320.00 cents.
Wyckoff’s Market Rating: 4.5