jackfutu18
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Review on the Metal market again to be ready for your new trading week! Just check out to see what Pitguru Daniel Cronin already noted for you!
Precious metals took a dive last week as profit taking occurred after Gold rallied up to new heights at $1,430 and Silver traded up to $3.70. The good news for Gold bugs and longs out there is that the yellow metal has now been consolidating at the $1,385-$1,390 level waiting for its next move higher above the $1,400 mark. Silver looks poised to get back to that $30 level again as well. It is very tough to buy into a falling market for the fear of trying to catch a falling knife, but I think this is when the best value prices are available. If one looked at the last leg down prices fell all the way to support at $1,320. The market has rebounded +$80 since then. In this market there is always some value buying going on in my opinion. I try to use technical analysis to look for support to come up with a strategy on value buying on the dips and try to be in the right position for when futures prices rally. I think Gold will look to eclipse the $1,400 mark again this week.
Copper has had a great run here as futures prices rallied to new heights above $4.10 last week as the equity markets continues to rise. One reason Copper prices are rallying is that China refrains from raising their interest rate. "The People’s Bank of China, which on Dec. 10 raised reserve-requirement ratios for banks by half a percentage point, didn't increase interest rates at the weekend even as consumer prices jumped 5.1 percent in November. Copper and lead output in China, the largest consumer of both metals, advanced to records in November as producers increased production following price gains." With China not raising their rate, the Copper market has risen to new heights this year, and $4.25 looks to be in the near future.
To have full understanding of the markets, as usual, you are recommended to open the other reviews on futures market to see how the interactive to each other and plan your investment.
The Metals Review
For the week of December 13th, 2010
For the week of December 13th, 2010
Precious metals took a dive last week as profit taking occurred after Gold rallied up to new heights at $1,430 and Silver traded up to $3.70. The good news for Gold bugs and longs out there is that the yellow metal has now been consolidating at the $1,385-$1,390 level waiting for its next move higher above the $1,400 mark. Silver looks poised to get back to that $30 level again as well. It is very tough to buy into a falling market for the fear of trying to catch a falling knife, but I think this is when the best value prices are available. If one looked at the last leg down prices fell all the way to support at $1,320. The market has rebounded +$80 since then. In this market there is always some value buying going on in my opinion. I try to use technical analysis to look for support to come up with a strategy on value buying on the dips and try to be in the right position for when futures prices rally. I think Gold will look to eclipse the $1,400 mark again this week.
Copper has had a great run here as futures prices rallied to new heights above $4.10 last week as the equity markets continues to rise. One reason Copper prices are rallying is that China refrains from raising their interest rate. "The People’s Bank of China, which on Dec. 10 raised reserve-requirement ratios for banks by half a percentage point, didn't increase interest rates at the weekend even as consumer prices jumped 5.1 percent in November. Copper and lead output in China, the largest consumer of both metals, advanced to records in November as producers increased production following price gains." With China not raising their rate, the Copper market has risen to new heights this year, and $4.25 looks to be in the near future.
To have full understanding of the markets, as usual, you are recommended to open the other reviews on futures market to see how the interactive to each other and plan your investment.