by Jim Wyckoff, Senior Analyst, TraderPlanet.com
DECEMBER GOLD
December gold futures closed up $22.00 at $904.00 yesterday. Prices closed nearer mid-range yesterday on more safe-haven buying interest amid the stock and financial market meltdown. A weaker U.S. dollar yesterday also aided the gold market bulls. But my bias is still that the upside is limited to around the September high of $932. However, a push and close above that price level would be significantly bullish to suggest still more upside price potential. Gold bulls’ next upside price objective is to produce a close above resistance at $932.00. Bears’ next downside price objective is closing prices below solid technical support at $860.00. First resistance is seen at $920.00 and then at yesterday’s high of $924.90. Support is seen at $900.00 and then at $890.00.
Wyckoff’s Market Rating: 7.0.
DECEMBER SILVER
December silver futures closed up 32.0 cents at $11.70 an ounce yesterday. Prices closed near mid-range on more short covering and a rally in gold. Silver bulls’ next upside price objective is closing prices above psychological resistance at $12.00 an ounce. The next downside price objective for the bears is closing prices below solid technical support at last week’s low of $10.84. First resistance is seen at $12.00 and then at yesterday’s high of $12.13. Next support is seen at yesterday’s low of $11.445 and then at $11.25.
Wyckoff’s Market Rating: 4.0.
DECEMBER N.Y. COPPER
December N.Y. copper closed down 1,545 points at 238.00 cents yesterday. Prices closed near the session low yesterday and hit an 18-month low. Bears still have the solid near-term technical advantage in copper and gained more power yesterday. Prices are still in a three-month-old downtrend on the daily bar chart. The next downside price objective for the bears is closing prices below solid technical support at 225.00 cents. Bulls’ next upside objective is pushing and closing prices above solid technical resistance at this week’s high of 264.50 cents. First support is seen at yesterday’s low of 234.00 cents and then at 230.00 cents. First resistance is seen at 245.00 cents and then at 250.00 cents.
Wyckoff’s Market Rating: 1.0.
