Metals galore: Gold, silver, copper, platinum and palladium all breaking higher
Fawad Razaqzada October 24, 2019 3:18 PM
Precious metals prices have risen partly because of expectations than central banks globally will continue to keep monetary policy extraordinary loose
I will let the charts do the talking, but metal prices have been pushing higher in recent days and today gold finally joined the fun as it broke key resistance in the $1495 area. It needs to hold above here on a daily closing basis if we are to see further gains in the days ahead.
Precious metals prices have risen partly because of expectations than central banks globally will continue to keep monetary policy extraordinary loose, while base metals have found support amid optimism over a US-China trade deal.
Anyway, here are comes the charts with brief comments for each:
Gold was testing the trend of its bull flag – a closing break is what the bulls are looking for. The bears want to see a failure but they have had plenty of time to drive prices lower and have so far been unable to do so:
It is not just gold against the dollar. Gold in euro terms is also printing bullish price action after it broke through a bearish trend line:
Silver has broken its bearish trend line and has now established a base above - looks like it wants to shoot higher now. The bears will need to see a break back below key support at $17.60.
It is not all about gold and silver. Platinum also showed strong bullish characteristics yesterday as it broke its bearish trend and there has been some follow-through today, which is always a good sign:
Among the precious metals, palladium has been the strongest and it is now bull flagging – a break and hold is what the buyers are looking for here:
Finally, copper is looking interesting given the breakout above the bearish trend line and from consolidation pattern. Dr Copper is therefore pointing to a healthier global economy:
*Chart Sources: eSignal, Trading View and FOREX.com. Please note, not all of these products may be available to trade in all regions.
Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex and commodity futures, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to Forex.com or GAIN Capital refer to GAIN Capital Holdings Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.