by Jim Wyckoff, Senior Analyst TraderPlanet.com
DECEMBER GOLD
December gold futures closed down $13.70 at $800.30 today. Prices closed nearer the session low again today and were pressured by more sharp declines in crude oil and a rebound in the U.S. dollar. In after-hours electronic trading the gold market did pare its losses suffered during the day session. No serious chart damage occurred today but more strong follow-through selling on Thursday could produce near-term chart damage. In fact, there is now a bullish symmetrical triangle pattern that has formed on the daily bar chart. Bulls’ next upside price objective is to produce a close above solid resistance at $820.00. Bears’ next downside price objective is closing prices below solid chart support at $790.00. First resistance is seen at $810.00 and then at today’s high of $815.90. Support is seen at $795.00 and then at $790.00.
Wyckoff’s Market Rating: 7.0.
DECEMBER SILVER
December silver futures closed down 15.0 cents at $14.335 an ounce today. Prices closed near mid-range but were recovering losses in after-hours electronic trading. There is the specter of a bearish descending triangle pattern forming on the daily bar chart. Prices are still trapped in a trading range bound by technical resistance at $15.155 and by technical support at $14.10. Bulls’ next upside price objective is closing prices above solid technical resistance at $15.00 an ounce. The next downside price objective for the bears is closing prices below solid technical support at $14.10. First resistance is seen at today’s high of $14.54 and then at $14.75. Next support is seen at $14.30 and then at $14.10.
Wyckoff’s Market Rating: 6.5.
DECEMBER N.Y. COPPER
December N.Y. copper closed up 435 points at 300.60 cents today. Prices closed nearer the session high today on short covering and some bargain-hunting buying amid a big rebound in the U.S. stock market. Bears still have the downside technical advantage. A seven-week-old downtrend is still in place on the daily bar chart. Bulls’ next upside objective is closing prices above strong technical resistance at today’s high of 305.00 cents. The next downside price objective for the bears is closing prices below solid chart support at last week’s low of 287.05 cents. First resistance is seen at 305.00 cents and then at 307.50 cents. First support is seen at today’s low of 293.35 cents and then at 290.00 cents.
Wyckoff’s Market Rating: 3.5.
