by Jim Wyckoff, Senior Analyst TraderPlanet.com
DECEMBER GOLD
DECEMBER GOLD
December gold closed higher on Wednesday as it extended Tuesday’s short covering rally. The high-range close sets the stage for a steady to higher opening on Thursday. Stochastics and the RSI have turned bearish hinting that a short-term top might be in or is near. If December extends this fall’s rally, weekly resistance crossing at 778.00 is the next upside target. Closes below the 20-day moving average crossing at 752.80 would confirm that a short-term top has been posted. First resistance is last Friday’s high crossing at 776.90 then weekly resistance crossing at 778.00. First support is the 20-day moving average crossing at 752.80 then Monday’s low crossing at 749.00.
DECEMBER SILVER
December silver closed lower on Wednesday as it consolidates below the 20-day moving average crossing at 13.665. The mid-range close sets the stage for a steady opening on Thursday. Stochastics and the RSI remain bearish signaling that a short-term top might be in or is near. If December extends this week’s decline, the reaction low crossing at 13.150 is the next downside target. Closes below this support level would confirm that a trend change has taken place. First resistance Tuesday’s high crossing at 13.720 then the 10-day moving average crossing at 13.737. First support is Monday’s low crossing at 13.325 then the reaction low crossing at 13.150.
DECEMBER COPPER
December copper closed lower on Wednesday as it extended this week’s decline. The low-range close sets the stage for a steady to lower opening on Thursday. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If December extends this week’s decline, the 50% retracement level of the August-October rally crossing at 341.35 is the next downside target. Closes above the 20-day moving average crossing at 363.16 would signal that a short-term low has been posted. First resistance is the 10-day moving average crossing at 357.90 then the 20-day moving average crossing at 363.16. First support today’s low crossing at 343.00 then the 50% retracement level crossing at 341.35.
