Gold Slightly Down, But Bulls Appear To Have Stopped The Bleeding

(Kitco News) - Gold priceswereending the U.S. day session slightly lower Thursday, on some chartconsolidation after this week’s stronger selling pressure that did produce somenear-term technical damage. The gold market is now short-term oversold,technically, and due for a corrective bounce early next week. April Comex gold futures were last down $2.00 an ounce at $1,322.20. May Comex silver was lastup $0.022 at $16.275 an ounce.

Worldstock markets were mostly higher Thursday. Still, world stock markets this weekbecame wobbly again, which favors the stock market bears and still suggestsmajor market tops are in place for the stock indexes.

Theshaky global stocks markets this week boosted safe-haven U.S. Treasury pricesto multi-week highs. Yet, gold and silver bulls were perplexed their metalssold off. However, it’s my bias the gold and silver markets’ prices wouldbenefit from continued higher volatility in world equity markets in the nearterm.

Thekey “outside markets” on Thursday saw the U.S. dollar index slightly higher.Meantime, Nymex crude oil prices were modestly up and trading just below $65.00a barrel.

Technically,April gold bulls have lost their overall near-term technical advantage. Pricestoday were headed for a bearish weekly low close in U.S. trade terms. Goldbulls' next upside near-term price breakout objective is to produce a closeabove solid technical resistance at the January high of $1,370.50. Bears' nextnear-term downside price breakout objective is pushing prices below solidtechnical support at $1,300.00. First resistance is seen at $1,330.00 and thenat $1,335.00. First support is seen at $1,320.00 and then at $1,309.00.Wyckoff's Market Rating: 5.0

Maysilver futures bears have the overall near-term technical advantage. Silverbulls' next upside price breakout objective is closing prices above solidtechnical resistance at the March high of $16.895 an ounce. The next downsideprice breakout objective for the bears is closing prices below solid support at$16.00. First resistance is seen at Wednesday’s high of $16.56 and then at thisweek’s high of $16.81. Next support is seen at the March low of $16.10 and thenat $16.00. Wyckoff's Market Rating: 3.0.

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.

Gold stocks down as metal and equities momentum fades

Another Kazatomprom guidance announcement shakes uranium price

Major monetary drivers still supporting gold

Gold stocks gain on metal rise and continued equities rebound

Big Gold stocks outperform Big Base Metals