Market Commentary

April gold closed sharply lower due to profit taking on Wednesday as it consolidates some of the rally off January’s low. The low-range close sets the stage for a steady to lower opening when Thursday’s night session begins trading. Stochastics and the RSI are overbought and are turning neutral to bearish signaling that a short-term top might be in or is near. Closes below the 20-day moving average crossing at 1271.20 would confirm that a short-term top has been posted. If April extends the rally off December’s low, the 62% retracement level of the August-December decline crossing at 1335.10 is the next upside target. First resistance is Tuesday’s high crossing at 1332.40.Second resistance is the 62% retracement level of the August-December decline crossing at 1335.10. First support is the 10-day moving average crossing at 1289.00. Second support is the 20-day moving average crossing at 1271.20.

March silver closed lower on Wednesday as it consolidated some of its recent gains. The low-range close set the stage for a steady to lower opening when Thursday’s night session begins trading. Stochastics and the RSI are overbought but are turning neutral to bearish hinting that a short-term top might be in or is near. Closes below the 20-day moving average crossing at 20.048 would confirm that a short-term top has been posted. If March extends the rally off the late-January low, the 62% retracement level of the August-December decline crossing at 22.660 is the next upside target. First resistance is today’s high crossing at 21.970. Second resistance is the 62% retracement level of the August-December decline crossing at 22.660. First support is the 10-day moving average crossing at 20.544. Second support is the 20-day moving average crossing at 20.048.
Source:RSBL