Gold has continued to remain heavily under pressure once again in today’s gold trading session, with the bears in full cry, as the precious metal moved relentlessly lower to trade at $1238.70 on the December contract at time of writing.
Whilst it’s been a torrid time for gold bugs, investors in silver have fared little better, with the metal falling from the dizzy heights of $50 per ounce, to currently trade at $19 per ounce.
The last few days have seen some clear and unequivocal signals from the gold futures chart, that the precious metal is on the way lower, something I have been suggesting for several weeks.
The plunge in gold prices yesterday, rocked the markets with the precious metal shedding over $30 per ounce in the futures market as the big operators finally triggered the move in a classic pump and dump operation.
Longer term investors in both gold and silver have no doubt become increasingly frustrated over the last few months, as first the metals gain some bullish momentum, only to see this promptly reversed with a return of bearish sentiment.
In considering the daily chart for copper, there are several questions that instantly come to mind.
In today’s Morning Coffee Brief we find yesterday’s U.S. equity markets saw its first day controlled by the bulls on bullish global data most notable from Germany’s export data report. The report indicates export levels not seen since the crisis started in 2008.
The sideways stock market that has been with us since late July doesn’t appear to want to change. Equities are somewhat in a dead market at this time.
With commodities in general taking a hammering in the markets at the moment, neither silver or gold have escaped. In the last two days, the dramatic falls in silver, have also been reflected in gold futures, with the June contract trading lower once again overnight on Globex as we test the $1540 per ounce level.
As the old saying goes, another day and another dollar. Well not quite, and for silver traders it’s getting to the stage where a dollar move in the trading session would be considered a significant one! Yesterday’s trading, certainly didn’t break the mould of the last few weeks, and traders must be wondering if this market is every going to break.
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