Gold Near Steady; Silver Pushes To 6-Week High

(Kitco News) - Gold priceswere near steady in early-afternoon U.S. trading Thursday. Silver prices weremodestly up and scored a six-week high today. The U.S. dollar index has beendrifting lower this week, which is a positive development for the preciousmetals market bulls. August Comex gold futures were last up $0.50 an ounce at$1,301.80. July Comex silver was last up $0.141 at $16.83 an ounce.

Gainsin the safe-haven metals were again limited today by upbeat trader and investorattitudes. World stock markets were mostly firmer overnight. U.S. stock indexeshave hit multi-week highs this week.

Tradersare looking ahead to this weekend’s Group of Seven meeting between the majorindustrialized countries of the world. Trade and import tariffs will likely bethe major topic of discussion among the finance ministers of the major worldeconomies.

Thekey “outside markets” today find Nymex crude oil prices higher and trading justbelow $66.00 a barrel. Still, recent chart damage in oil suggests the markethas topped out.

Meantime,the U.S. dollar index is lower again today on more of a corrective pullbackfrom recent good gains. More losses in the USDX this week would suggest that anear-term market top is in place.

Technically,gold price action has turned choppy and sideways recently. The gold bulls andbears are on a level overall near-term technical playing field. Gold bulls'next upside near-term price breakout objective is to produce a close abovesolid technical resistance at the May high of $1,332.40. Bears' next near-termdownside price breakout objective is pushing prices below solid technicalsupport at the May low of $1,286.80. First resistance is seen at today’s highof $1,307.80 and then at last week’s high of $1,312.60. First support is seenat last week’s low of $1,293.10 and then at $1,286.80. Wyckoff's Market Rating:5.0

Julysilver futures hit a six-week high today. The silver bulls have regained theslight overall near-term technical advantage field. Silver bulls' next upsideprice breakout objective is closing prices above solid technical resistance at$17.00 an ounce. The next downside price breakout objective for the bears isclosing prices below solid support at the May low of $16.07. First resistanceis seen at today’s high of $16.935 and then at $17.00. Next support is seen attoday’s low of $16.67 and then at $16.50. Wyckoff's Market Rating: 5.5.

JulyN.Y. copper closed up 180 points at 328.00 cents today. Prices closed nearmid-range and hit a 4.5-month high today. The copper bulls have the firmoverall near-term technical advantage. However, the market is now overboughtand due for a corrective pullback very soon. Copper bulls' next upside priceobjective is pushing and closing prices above solid technical resistance at theDecember high of 334.20 cents. The next downside price objective for the bearsis closing prices below solid technical support at this week’s low of 309.00cents. First resistance is seen at today’s high of 331.15 cents and then at334.20 cents. First support is seen at 325.00 cents and then at 321.80 cents.Wyckoff's Market Rating: 7.0.

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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