Silver 1 OZ 999 NY (XAG=X) pushed to a nearly four-month high
Gold prices are modestly down in midday U.S. trading Tuesday. Some stronger U.S. economic data gave the monetary policy doves some pause on their notions of several interest rate cuts in the coming months. Meantime, silver futures pushed to a nearly four-month high today on chart-based buying interest and bargain hunting. August gold futures were last down $3.60 an ounce at 1,409.80. September Comex silver prices were last up $0.295 at $15.655 an ounce.
The daily chart for gold still shows a “collapse in volatility,” whereby the past three sessions have seen significantly quieter price action. This suggests that a bigger price move is right on the horizon, probably yet this week. Given that the daily gold chart remains bullish, odds favor that bigger price move being to the upside.
September silver futures prices closed nearer the session high and hit a nearly four-month high today. The silver bulls have the overall near-term technical advantage and gained more power today. Silver bulls’ next upside price breakout objective is closing prices above solid technical resistance at $16.00 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at the July low of $14.915. First resistance is seen at today’s high of $15.735 and then at the March high of $15.835. Next support is seen at $15.50 and then at today’s low of $15.34.
Overall, the bias in prices is: Upwards.
The projected upper bound is: 15.95.
The projected lower bound is: 15.18.
The projected closing price is: 15.57.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 7 white candles and 3 black candles for a net of 4 white candles. During the past 50 bars, there have been 31 white candles and 18 black candles for a net of 13 white candles.
Three white candles occurred in the last three days. Although these candles were not big enough to create three white soldiers, the steady upward pattern is bullish.
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 83.2703. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 The last signal was a sell 15 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 63.79. 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 17 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 218.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a buy 4 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 buy 0 period(s) ago.
Rex Takasugi – TD Profile
PREC.M.XAG= closed up 0.180 at 15.555. Volume was 8,900% above average (trending) and Bollinger Bands were 24% narrower than normal.
Open High Low Close Volume___
15.380 15.692 15.270 15.555 15,661
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 15.22 14.91 15.02
Volatility: 18 16 17
Volume: 1,566 313 78
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 3.6% above its 200-period moving average and is in an upward trend. Volatility is high 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 29 periods.