Silver 1 OZ 999 NY (XAG=X) dropped to three-week lows overnight as the bulls are fading
Gold prices are trading near steady, while silver is slightly lower in early U.S. trading Tuesday. Both metals dropped to three-week lows overnight as the bulls are fading. There is some keener risk aversion in the marketplace today, which will limit the selling interest in gold and silver markets. February gold futures were last down $0.30 an ounce at $1,282.30. March Comex silverwas down $0.079 at $15.32 an ounce.
European and Asian stock markets were mostly lower overnight. U.S. stock indexes are pointed toward lower openings when the New York day session begins. Some risk aversion has creeped back into the marketplace this week. U.S. stock and financial markets were closed for a federal holiday on Monday.
March silver futures bulls are fading as prices hit a three-week low overnight. Silver bulls’ next upside price breakout objective is closing prices above solid technical resistance at the January high of $15.955 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $15.00. First resistance is seen at the overnight high of $15.385 and then at $15.50. Next support is seen at the overnight low of $15.195 and then at $15.00.
Overall, the bias in prices is: Upwards.
The projected upper bound is: 15.72.
The projected lower bound is: 14.98.
The projected closing price is: 15.35.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 28 white candles and 22 black candles for a net of 6 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 19.1387. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a sell 11 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 51.77. 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 sell 8 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 -168.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a sell 11 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 6 period(s) ago.
Rex Takasugi – TD Profile
PREC.M.XAG= closed up 0.100 at 15.320. Volume was 8,900% above average (trending) and Bollinger Bands were 11% narrower than normal.
Open High Low Close Volume___
15.269 15.350 15.140 15.320 13,843
Short Term: Oversold
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 15.51 14.87 15.29
Volatility: 13 16 19
Volume: 1,384 277 69
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 0.2% above its 200-period moving average and is in an upward 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 bullish on XAG= and have had this outlook for the last 31 periods.