Silver 1 OZ 999 NY (XAG=X) some selling pressure as the U.S. dollar and U.S. stock market have pushed to higher levels
Gold and silver prices are modestly down in early-afternoon U.S. trading Thursday. The safe-haven metals are seeing some selling pressure as the U.S. dollar and U.S. stock market have pushed to higher levels on the day. February gold futures were last down $3.00 an ounce at $1,289.00. March Comex silver was down $0.085 at $15.65 an ounce.
The marketplace is now watching Federal Reserve Chairman Jerome Powell’s discussion with the Economic Club of Washington, D.C. So far as of this writing, Powell had not made comments to move the markets. Several other Federal Reserve officials also are on tap for speeches today.
The USDX is seeing a corrective bounce today, but has been trending sideways to lower on the daily chart for the past month. Meantime, Nymex crude oil prices are slightly weaker and trading just above $52.00 a barrel level. Technical evidence is building the oil market will trade at least sideways in the coming weeks, if not sideways to higher. That would be bullish for the metals markets.
March silver futures saw a mild corrective pullback after hitting a five-month high last week. The silver bulls still have the overall near-term technical advantage. A two-month-old price uptrend is in place on the daily bar chart. 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 $15.25. First resistance is seen at this week’s high of $15.88 and then at last week’s high of $15.955. Next support is seen at this week’s low of $15.56 and then at $15.385.
Overall, the bias in prices is: Upwards.
Note: this chart shows extraordinary price action to the upside.
By the way, prices are vulnerable to a correction towards 15.08.
The projected upper bound is: 16.06.
The projected lower bound is: 15.17.
The projected closing price is: 15.62.
A black body occurred (because prices closed lower 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 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 55.4848. This is not an overbought or oversold reading. The last signal was a sell 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 66.24. This is not a topping or bottoming area. However, the RSI just crossed below 70 from a topping formation. This is a bearish sign. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 0 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 64. This is not a topping or bottoming area. The last signal was a sell 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 buy 27 period(s) ago.
Rex Takasugi – TD Profile
PREC.M.XAG= closed down -0.152 at 15.590. Volume was 8,900% above average (trending) and Bollinger Bands were 116% wider than normal.
Open High Low Close Volume___
15.742 15.784 15.550 15.590 10,144
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 15.58 14.71 15.33
Volatility: 13 19 20
Volume: 1,014 203 51
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 1.7% 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 out of XAG= (bearish). Our trend forecasting oscillators are currently bullish on XAG= and have had this outlook for the last 23 periods.