Market Commentary

August gold was lower overnight as it consolidates some of this week’s rally. Stochastics and the RSI remain bullish signaling that sideways to higher prices are possible near-term. Closes above the 20-day moving average crossing at 1277.30 are needed to confirm that a short-term low has been posted. If August renews the decline off June’s high, monthly support crossing at 1155.60 is the next downside target. First resistance is the 20-day moving average crossing at 1277.30. Second resistance is the reaction high crossing at 1394.00. First support is June’s low crossing at 1179.40. Second support is monthly support crossing at 1155.60.

September silver was lower overnight as it consolidates some Thursday’s rally. Stochastics and the RSI are bullish signaling that sideways to higher prices are possible near-term. Closes above the 20-day moving average crossing at 19.854 are needed to confirm that a low has been posted. If September renews this year’s decline, monthly support crossing at 17.080 is the next downside target. First resistance is the 20-day moving average crossing at 19.854. Second resistance is the reaction high crossing at 22.525. First support is June’s low crossing at 18.170. Second support is monthly support crossing at 17.080.

Technical levels for 15th July, 2013:
Metal  Support($/oz) Resistance ($/oz)
Gold    1,269.21               1,298.85
Silver  19.631                  20.242

Source: www.rsbl.co.in