Gold and silver prices are moderately higher in early U.S. trading Thursday, again seeing some buying support from a weaker U.S. dollar index on this day. Still, the gold and silver market bulls need a fresh fundamental news spark to restart their near-term price uptrends that have stalled out. December gold futures were last up $7.80 at $1,903.20 and December Comex silver was last up $0.256 at $23.75 an ounce.
Global stock markets were mixed overnight. U.S. stock indexes are set to open the New York day session higher. Many Asian stock markets were closed for a holiday, while the Tokyo Stock Exchange had to halt stock trading due to technical problems. The stock and financial markets are half-way through what can be turbulent months of September and October. A glance across the markets spectrum shows no serious shocks or major volatility during September, although some markets did experience moderate rises in volatility—but also which can be considered not unusual. The U.S. stock indexes did get a bit wobbly during September but prices now appear to have stabilized.
Slight hopes for a new U.S. financial stimulus package for American citizens and businesses faded Wednesday after the Democrats and Republicans had a flurry of discussions earlier this week. Many doubt any plan will be agreed upon before the U.S. elections in early November.
In overnight news, the Euro zone September manufacturing purchasing managers index (PMI) was reported at 53.7 versus the August reading of 51.7. The September PMI was right in line with market expectations. A reading above 50.0 suggests growth in the sector.
Overall, the bias in prices is: Upwards.
Note: this chart shows extraordinary price action to the downside.
The projected upper bound is: 26.96.
The projected lower bound is: 20.71.
The projected closing price is: 23.84.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 26 white candles and 24 black candles for a net of 2 white candles.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 72.9025. This is not an overbought or oversold reading. The last signal was a buy 3 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 41.45. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 5 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -49. This is not a topping or bottoming area. The last signal was a buy 3 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 36 period(s) ago.
Rex Takasugi – TD Profile
PREC.M.XAG= closed up 0.605 at 23.815. Volume was -0% below average (neutral) and Bollinger Bands were 52% wider than normal.
Open High Low Close Volume 23.200 24.150 23.190 23.815 0
Technical Outlook Short Term: Neutral Intermediate Term: Bearish Long Term: Bullish
Moving Averages: 10-period 50-period 200-period Close: 23.98 26.06 19.25 Volatility: 71 76 55 Volume: 0 0 0
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
PREC.M.XAG= is currently 23.7% above its 200-period moving average and is in an downward trend. Volatility is extremely high when compared to the average volatility over the last 10 periods. There is a good possibility that volatility will decrease and prices will stabilize in the near term.
Our volume indicators reflect very strong flows of volume into XAG= (bullish). Our trend forecasting oscillators are currently bearish on XAG= and have had this outlook for the last 19 periods.