Gold crude forex calls/views


Active member
Dec 24, 2008
The Metals Pit Review

For the week of April 26th, 2010

By PitGuru Daniel Cronin

Precious metals had a very good week considering what was going on with the strengthening in the USD. Gold prices stayed above $1,125 and rallied back up to $1,145 by the end of the week showing how strong this market is rising when the USD is strengthening. The reason why Gold is rallying now is that the risk of a serious and contagious sovereign debt crisis is increasing and thus leading to safe haven demand. From Bloomberg, “Greek bonds tumbled, pushing yields to the highest since at least 1998 as Greece needs to repay 8.5 billion euros ($11.3 billion) of bonds by May 19……The FOMC of the Federal Reserve in two days may keep the benchmark interest rate unchanged to .25%. The Fed has kept rates at zero to 0.25% since December 2008, helping send the dollar down and gold in dollars to a record in December.” 1.

Silver has been making a very nice push to $19.00 numerous times but still needs to break this level to really get investor’s eyes open on this market. Gold will try and trade up to its last resistance level of $1,173 this week so watch that number carefully. Traders loved the pullback in the market last week as a chance to buy and are now pushing this market higher in the early part of the trading week.

Copper broke out of its trading range as well on the Sunday night session rallying above $3.55 to $3.56 as last week’s housing numbers came in much better than expected as the price of the base metal jumped from $3.48 to $3.53. There is now great support at the $3.45-$3.46 level as prices have gone down there three times now with a sharp rally every time after. Look for this market to try and get back to $3.60 by week’s end.



Well-known member
Jan 22, 2004
Think being long gold still holds merit. Things are getting a bit shakey out there and the solution will be even more debt. Ultimately being in cash, as anybody holding STG or EUR has experieced is bad news compared to holding precious. This will continue. Scalp away but better to just hold a long and forget the short side.