Gold, Silver Drop To Session Lows In Quiet Session

Editor's Note: The article was updated to reflect a drop in gold prices.

(Kitco News)- Gold and silver prices were were moderately lower in afternoon U.S. trading Monday. Rightas the futures markets were closing selling pressure in the metals intensified.At the same time the U.S. dollar index moved up to its session high. June Comexgold futures were last down $7.50 an ounce at $1,313.30. July Comex silver waslast down $0.222 at $16.53 an ounce.

Thereis keener risk appetite is in the marketplace at present, which is bearish forsafe-haven gold and silver. U.S. stock indexes hit multi-week highs today.

Still,the gold and silver market bulls are encouraged by recent price action thatsuggests these metals have put in near-term market bottoms.

Focusof the marketplace this week will be on U.S. trade meetings with China thatbegin in the U.S. Tuesday, and a possible U.S. decision on the NAFTA tradeagreement with Mexico.

Thekey “outside markets” today see Nymex crude oil prices slightly higher and notfar below $71.00 a barrel. The U.S. dollar index

Thekey “outside markets” today see Nymex crude oil prices slightly higher and notfar below $71.00 a barrel. The U.S. dollar index is is firmer on some bargainhunting following recent selling pressure.

Therewas no major U.S. economic data released Monday.

Technically,the gold bulls and bears are still on a level overall near-term technicalplaying field. Gold bulls' next upside near-term price breakout objective is toproduce a close above solid technical resistance at $1,340.00. Bears' nextnear-term downside price breakout objective is pushing prices below solidtechnical support at $1,300.00. First resistance is seen at last week’s high of$1,326.30 and then at $1,330.00. First support is seen at Friday’s low of$1,317.00 and then at $1,310.00. Wyckoff's Market Rating: 5.0

Thesilver bulls and bears are on a level overall near-term technical playingfield. Silver bulls' next upside price breakout objective is closing pricesabove solid technical resistance at the April high of $17.425 an ounce. Thenext downside price breakout objective for the bears is closing prices belowsolid support at the May low of $16.07. First resistance is seen at today’shigh of $16.76 and then at last week’s high of $16.865. Next support is seen at$16.50 and then at last week’s low of $16.335. Wyckoff's Market Rating: 5.0.

JulyN.Y. copper closed down 170 points at 309.45 cents today. Prices closed nearerthe session low today. The copper bulls and bears are on a level overallnear-term technical playing field amid recent choppy trading. Copper bulls'next upside price objective is pushing and closing prices above solid technicalresistance at the April high of 321.80 cents. The next downside price objectivefor the bears is closing prices below solid technical support at the March lowof 295.85 cents. First resistance is seen at today’s high of 313.10 cents andthen at 315.00 cents. First support is seen at today’s low of 307.65 cents andthen at 305.00 cents. Wyckoff's Market Rating: 5.0.

By Jim Wyckoff

For Kitco News

Follow @jimwyckoffjwyckoff@kitco.comwww.kitco.com Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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