Market Commentary
April gold closed higher on Thursday extending the rally off January’s low. The high-range close sets the stage for a steady to higher opening when Friday’s night session begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If April extends the rally off December’s low, the 50% retracement level of the August-December decline crossing at 1306.20 is the next upside target. Closes below the 20-day moving average crossing at 1260.40 would confirm that a short-term top has been posted. First resistance is today’s high crossing at 1302.40. Second resistance is the 50% retracement level of the August-December decline crossing at 1306.20. First support is the 20-day moving average crossing at 1260.40. Second support is the reaction low crossing at 1237.50.
March silver closed higher on Thursday. The high-range close set the stage for a steady to higher opening when Friday’s night session begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If March extends the rally off the late-January low, January’s high crossing at 20.670 is the next upside target. Closes below the 20-day moving average crossing at 19.823 would temper the near-term friendly outlook. First resistance is January’s high crossing at 20.670. Second resistance is the reaction high crossing at 20.920. First support is the reaction low crossing at 18.970. Second support is January’s low crossing at 18.720.
Source:RSBL