Gold, Silver Prices Pressured By Bearish Outside Markets

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(Kitco News) - Gold andsilver prices endedthe U.S. day session moderately lower Wednesday. The precious metals sawdownside corrections following the good gains scored Tuesday. The key “outsidemarkets” were also in a bearish daily posture for the metals today, as the U.S. dollar index was firmer and crude oil prices were sharply lower.April Comex gold futures were last down $8.00 an ounce at $1,327.20. May Comex silver waslast down $0.274 at $16.51 an ounce.

Today’sADP national employment report for February showed a rise of 235,000, which wasabove forecasters expectations for a rise of 200,000. Gold prices dipped a bitmore on the news. Today’s ADP report suggests Friday’s more important jobsreport from the U.S. Department of Labor will come in strong, too.

Worldstock markets were mostly lower today, including U.S. stock indexes. The stock,financial and currency markets were somewhat spooked after White House chiefeconomist Gary Kohn announced his resignation amid the increasinglyprotectionist rhetoric coming from U.S. President Donald Trump.

Theresignation of Kohn suggests Trump is pushing forward with his plan to slaptariffs on imported aluminum and steel. Kohn’s departure heightened thespeculation that there is keen turmoil presently in the White House west wing.Such is presently not impacting the safe-haven gold market significantly,however.

Technically,Aprilgold futures prices closed nearer the session low today. The gold bullshave the slight overall near-term technical advantage, but need to show freshpower soon to keep it. Gold bulls' next upside near-term price breakoutobjective is to produce a close above solid technical resistance at $1,350.00.Bears' next near-term downside price breakout objective is pushing prices belowsolid technical support at $1,300.00. First resistance is seen at today’s highof $1,342.00 and then at $1,350.00. First support is seen at this week’s low of$1,318.30 and then at $1,309.00. Wyckoff's Market Rating: 5.5

Maysilver futures prices closed nearer the session low today and gave back most ofTuesday’s big gains. The silver bears have the overall near-term technical advantage.Silver bulls' next upside price breakout objective is closing prices abovesolid technical resistance at the February high of $17.04 an ounce. The nextdownside price breakout objective for the bears is closing prices below solidsupport at $16.00. First resistance is seen at $16.75 and then at this week’shigh of $16.895. Next support is seen at this week’s low of $16.37 and then atthe March low of $16.16. Wyckoff's Market Rating: 4.0.

MayN.Y. copper closed down 255 points at 313.35 cents today. Prices closed nearmid-range today. The copper bulls have the overall near-term technicaladvantage. Copper bulls' next upside price objective is pushing and closingprices above solid technical resistance at the February high of 329.05 cents.The next downside price objective for the bears is closing prices below solidtechnical support at the February low of 304.65 cents. First resistance is seenat today’s high of 315.85 cents and then at this week’s high of 317.80 cents.First support is seen at today’s low of 311.75 cents and then at this week’slow of 309.55 cents. Wyckoff's Market Rating: 6.0.

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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