Silver 1 OZ 999 NY (XAG=X) price supported by a lower U.S. dollar index
Gold prices are moderately higher in midday U.S. trading Monday. However, prices have backed off their session highs. The metals are supported today by a lower U.S. dollar index and higher crude oil prices that scored a five-month high. June gold futures were last up $6.20 an ounce at $1,301.80. May Comex silver was last up $0.124 at $15.215 an ounce.
Asian and European stock indexes were mixed to slightly weaker in quieter trading overnight. U.S. stock indexes are modestly lower in New York trading. The generally weaker world stock indexes today are also a positive element for the safe-haven metals today.
There are no major geopolitical matters on the front burner of the marketplace early this week. U.S. corporate earnings reports are coming out this week. The Brexit saga continues to play out but is not impacting worldwide markets. Trader and investor attitudes are still generally upbeat, which is bullish for the world stock markets and still a bearish element for the safe-haven metals.
U.S. economic reports Monday were light but the data pace really picks up as the week progresses, including the FOMC minutes released on Wednesday afternoon.
May silver futures prices closed near mid-range today on short covering and bargain hunting. The silver bears have the slight overall near-term technical advantage.
A six-week-old downtrend is in place on the daily bar chart. Silver bulls’ next upside price breakout objective is closing prices above solid technical resistance at the March high of $15.65 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $14.75. First resistance is seen at today’s high of $15.275 and then at $15.315. Next support is seen at today’s low of $15.075 and then at $15.00.
“There’s a little bit of easing risk appetite, the U.S. dollar is weak and we saw Chinese central bank’s acquisition of gold for a fourth month. A combination of all these factors have moved gold into the $1,300s,” said Shayne ‘Jack’ Heffernan, CEO and Founder of Heffx Trading.
Overall, the bias in prices is: Sideways.
By the way, prices are vulnerable to a correction towards 15.32.
The projected upper bound is: 15.64.
The projected lower bound is: 14.83.
The projected closing price is: 15.23.
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 21 black candles for a net of 7 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 77.0088. This is not an overbought or oversold reading. The last signal was a buy 5 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 47.85. 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 46 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 -15. 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 7 period(s) ago.
Rex Takasugi – TD Profile
PREC.M.XAG= closed up 0.165 at 15.245. Volume was -0% below average (neutral) and Bollinger Bands were 34% narrower than normal.
Open High Low Close Volume___
15.090 15.297 15.080 15.245 0
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 15.17 15.51 15.02
Volatility: 15 17 19
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 1.5% above its 200-period moving average and is in an downward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. 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 26 periods.
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