SPDR Gold Trust (GLD)

[DiscoverGold]

Gold sees modest price gains to start trading week
By: Jim Wyckoff | April 24, 2023

Gold and silver prices are a bit higher in early U.S. trading Monday. A weaker U.S. dollar index and a dip in U.S. Treasury yields are supportive for the metals market bulls today. However, the metals market bulls are pensive amid general marketplace sentiment that Federal Reserve monetary policy is likely to remain tight in the coming months, despite notions the U.S. and/or global economy could slip into recession. June gold was last up $4.20 at $1,994.90 and May silver was up $0.067 at $25.13.

Global stock markets were mostly lower overnight. U.S. stock indexes are pointed toward slightly lower openings when the New York day session begins. The stock indexes have wobbled recently amid concerns the Federal Reserve will keep its monetary policy tighter for longer in order to ensure inflation is successfully tamped down. Focus of stock traders this week will be on the release of a slew of corporate earnings reports.

The key outside markets today see the U.S. dollar index modestly lower. Nymex crude oil prices are lower and trading around $77.75 a barrel. The benchmark 10-year U.S. Treasury note yield is presently fetching 3.543%.

U.S. economic data due for release Monday includes the Chicago Fed national activity index and the Texas manufacturing outlook survey.



Technically, the gold futures bulls have the solid overall near-term technical advantage. Prices are in a six-week-old uptrend on the daily bar chart. Bulls’ next upside price objective is to produce a close in June futures above solid resistance at the April high of $2,063.40. Bears' next near-term downside price objective is pushing futures prices below solid technical support at the April low of $1,965.90. First resistance is seen at Friday’s high of $2,016.80 and then at last week’s high of $2,028.00. First support is seen at the overnight low of $1,986.90 and then at last week’s low of $1,980.90. Wyckoff's Market Rating: 7.5



The silver bulls have the solid overall near-term technical advantage. Prices are in an uptrend on the daily bar chart. Silver bulls' next upside price objective is closing May futures prices above solid technical resistance at $27.00. The next downside price objective for the bears is closing prices below solid support at $23.50. First resistance is seen at Friday’s high of $25.475 and then at this week’s high of $25.71. Next support is seen at the overnight low of $24.84 and then at last week’s low of $24.715. Wyckoff's Market Rating: 7.5.

Read Full Story »»»

DiscoverGold