Gold
Weekly Moving Averages
The December gold futures contract closed at 1217. The market closing below the 50 day MA (1289) is confirmation that the weekly trend momentum is bearish. A close above the 50 day MA would negate the weekly bearish short-term trend to neutral.
Weekly Momentum Indicator
With the market closing below the VC Weekly Price Momentum Indicator of 1225, it confirms that the price momentum is bearish. A close above the VC Weekly, it would negate the bearish signal to neutral.
Weekly Price Indicator
Cover short on corrections at the 1206 – 1 196 levels and go long on a weekly reversal stop. If long, use the 1196 level as a Stop Close Only and Good Till Cancelled order. Look to take some profits on longs, as we reach the 1235 – 1253 levels during the week.
Silver
Weekly Moving Averages
The December silver futures contract closed at 17.79. The market closing below the 50 day MA (20.30) is confirmation that the weekly trend momentum is bearish. A close above the 9 day MA would negate the weekly bearish short-term trend to neutral.
Weekly Momentum Indicator
With the market closing below the VC Weekly Price Momentum Indicator of 18.16, it confirms that the price momentum is bearish. A close above the VC Weekly, it would negate the bearish signal to neutral.
Weekly Price Indicator
Cover short on corrections at the 17.42 – 17.06 levels and go long on a weekly reversal stop. If long, use the 17.06 level as a Stop Close Only and Good Till Cancelled order. Look to take some profits on longs, as we reach the 18.52 – 19.25 levels during the week.
The information in the Market Commentaries was obtained from sources believed to be reliable, but we do not guarantee its accuracy. Neither the information nor any opinion expressed herein constitutes a solicitation of the purchase or sale of any futures or options contracts.
Disclaimer: TRADING DERIVATIVES, FINANCIAL INSTRUMENTS AND PRECIOUS METALS INVOLVES SIGNIFICANT RISK OF LOSS AND IS NOT SUITABLE FOR EVERYONE. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.