Gold prices have hit a new record high of $2,004.30, in midday U.S. trading Tuesday. Silver prices are also up and are near to close at a seven-year high today. Both metals are continuing to see strong support from safe-haven demand amid the worrisome rise in Covid-19 infections, geopolitics and concerns about problematic price inflation in the coming months. The charts remain solidly bullish, which is also inviting the technically based traders to the long side of those markets. Importantly, there are no early warning technical signals to suggest market tops are close at hand in both metals. Thus, the path of least resistance for them will remain higher. October gold futures were last up $29.10 an ounce at $2,003.90. September Comex silver prices were last up $1.333 at $25.74 an ounce.
Global stock markets were mixed in overnight trading. The U.S. stock indexes are mixed at midday.
In overnight news, the central bank of Australia kept its monetary policy unchanged, but the bank said monetary stimulus and low interest rates will be required for some time to come.
The key U.S. data point of the week will be Friday’s jobs report for July from the Labor Department. The non-farm payrolls number is forecast to be up by around 1.25 million after rising by 4.8 million in June. However, don’t be surprised to see a miss from the forecasts, to likely move the markets.
The important outside markets today see Nymex crude oil prices firmer and trading around $41.60 a barrel. The crude oil market bulls have seen their price uptrend on the daily chart stall out and turn into sideways and choppy trading. The U.S. dollar index is slightly weaker today. The yield on the benchmark 10-year U.S. Treasury note is presently around 5.4%.
Technically, October gold futures bulls have the strong overall near-term technical advantage, to suggest still more upside in the near term. Prices are in an accelerating two-month-old uptrend on the daily bar chart. Gold bulls’ next upside near-term price objective is to produce a close above technical resistance at $2,100.00. Bears’ next near-term downside price objective is pushing prices below solid technical support at $1,912.00. First resistance is seen at $2,025.00 and then at $2,050.00. First support is seen at today’s low of $1,971.00 and then at this week’s low of $1,963.50. Wyckoff’s Market Rating: 10.0
September silver futures bulls have the strong overall near-term technical advantage and gained more power today. Prices are in a 4.5-month-old uptrend on the daily bar chart. Silver bulls’ next upside price objective is closing prices above solid technical resistance at the July high of $26.275 an ounce. The next downside price objective for the bears is closing prices below solid support at $23.00. First resistance is seen at $26.00 and then at $26.275. Next support is seen at $25.00 and then at today’s low of $24.24. Wyckoff’s Market Rating: 9.5.
September N.Y. copper closed down 185 points at 289.35 cents today. Prices closed near mid-range today. The copper bulls have the overall near-term technical advantage. However, a 4.5-month-old uptrend on the daily bar chart is in jeopardy. Copper bulls’ next upside price objective is pushing and closing prices above solid technical resistance at 300.00 cents. The next downside price objective for the bears is closing prices below solid technical support at 275.00 cents. First resistance is seen at this week’s high of 292.50 cents and then at last week’s high of 294.35 cents. First support is seen at today’s low of 287.50 cents and then at 285.00 cents. Wyckoff’s Market Rating: 7.0.