Gold
Gold in dollar and euro terms has slipped this morning in volatile
trading conditions as the dollar gains ground. However, gold is up
slightly in sterling terms as sterling has come under pressure and
slipped against the dollar. The first level of resistance seems to be
at $946/oz and strong resistance at $960/oz thereafter. Support is at
$926/oz. Whatever the short term movements of gold are, the market has
a lot of very interested spectators waiting for the optimum point to
enter as it is widely expected that gold is on the verge of a very
strong and sustainable move upwards. Especially as investment demand
remains robust as reported by the World Gold Council today. They found
that while investment demand in Q2 2009 was below the exceptional
levels seen in Q1 (when economic and financial sector uncertainty was
at extreme levels), identifiable investment demand still surged 46% in
Q2 2009. Net retail investment in Q2 2009 was up 12% on the levels of a
year earlier. Investor inflows in western markets remained very strong.
The more traditional non-western markets, with the exception of Turkey
and notably China, generally experienced weaker investment demand. Gold
is currently trading at $932/oz.
Silver
Silver is also slipping back and has already fallen through 2 levels of
support. The next level of support is $13.36/oz with resistance now
being the previous support of $13.80/oz. Silver is currently trading at
$13.63/oz.
Platinum Group Metals
Platinum is currently trading at $1,219/oz down $8.00/oz. Palladium is $270/oz and rhodium $1,600/$1,700/oz.
