U.S. Equities Closed But Futures Are Open And Up Big
Monday, January 15th is Martin Luther King Jr. day and the U.S. equity markets are closed. However, most of the futures markets are open electronically and trading much higher. The DOW Futures are up huge, oil is flat, while the dollar is getting hammered.
The big story is the continuation of the gold breakout. The last week’s rally finished well above the $1,330 resistance level and now looks headed for a test of $1,367. A small selloff this week would be no surprise, but now the support should come in at $1,320-$1,330.
Silver has lagged behind the gold markets and is now at a solid resistance level. Based on the action in gold and the dollar, silver should breakout to the upside and catch gold, however, I would not be a buyer here, wait for a pullback or wait for the breakout.
By Todd 'Bubba' HorwitzContributing tokitco.com
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Bubba@bubbatrading.com www.bubbatrading.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.