Spot prices of gold and silver remained down mostly throughout the week as investors remained cautious about safe-haven buying on two positive announcements about Covid-19 vaccines.
Drugmakers Pfizer and BioNTech said on Wednesday that their Covid-19 vaccine was found 95% effective in the final analysis of the Phase-3 trial, paving the way for the companies to apply for emergency authorisation from the US regulators.
Gold was trading lower at $1,861 an ounce, while silver was down at $24.02 an ounce.
We see some more consolidation to correction for gold prices due to the strength of the US dollar. However, we feel that this is a buying opportunity.
Overall, the bias in prices is: Upwards.
The projected upper bound is: 26.10.
The projected lower bound is: 22.18.
The projected closing price is: 24.14.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 6 white candles and 4 black candles for a net of 2 white candles. During the past 50 bars, there have been 27 white candles and 23 black candles for a net of 4 white candles.
A spinning top occurred (a spinning top is a candle with a small real body). Spinning tops identify a session in which there is little price action (as defined by the difference between the open and the close). During a rally or near new highs, a spinning top can be a sign that prices are losing momentum and the bulls may be in trouble.
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 39.7932. This is not an overbought or oversold reading. The last signal was a sell 10 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 47.93. 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 42 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 -44. This is not a topping or bottoming area. The last signal was a sell 10 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 2 period(s) ago.
Rex Takasugi – TD Profile
PREC.M.XAG= closed up 0.057 at 24.202. Volume was 8,900% above average (trending) and Bollinger Bands were 57% narrower than normal.
Open High Low Close Volume 24.140 24.380 24.060 24.202 3,766
Technical Outlook Short Term: Neutral Intermediate Term: Bearish Long Term: Bullish
Moving Averages: 10-period 50-period 200-period Close: 24.33 24.41 20.44 Volatility: 15 51 58 Volume: 377 75 19
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 18.4% above its 200-period moving average and is in an downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods.
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 0 periods.