Analysis-6th Dec 2018
The report suggests that Russia and Saudi Arabia is planning to extend the production of oil cuts-however Saudi Arabia seems not to agree with this and may not cut the production of oil yet-
Gold is trading at around $1236 while white metal made a steep decline and at the moment trading at 14.38 which implies that our position in white metal is profitable at the time of writing this report but the question is when gold will start its decline and how many days we need to wait for more to witness this immense decline in precious metal sector?
our study suggest that there is not much room left for gold to move higher and it seems that gold bulls are taking their last breath however it's still possible that this last breath could be bigger than we are anticipating and we can see more sideways movement in the upcoming days or yellow metal could even move slightly higher from this point-(it seems not likely though)
Please, note-Our five trading positions are active in gold and silver
our previous comments-U.S Treasury yields are also failing which concerns traders and investors as it shows the slow economic growth in U.S.Greenback has also found it's support and on the rise now after falling very sharply yesterday while crude oil prices are near steady and trading at around $53.one news which is more interesting which came out that One of the most influential Federal Reserve policymakers said on Tuesday that he expects further interest rate hikes continuing next year since the U.S. economy is "in really good shape," Beside that the U.S-China trade which drove the precious metal sector from months doesn't seem to over very soon as most of the analyst paid (including us)very close attention to the G20 meeting in which U.S president and China president met face to face-However market is filled with uncertainty and doubts and there are enough reasons to do this
- According to Bloomberg, “The U.S. and China emphasized different results from Sunday’s high-stakes meeting between Presidents Donald Trump and Xi Jinping, with the split highlighting how much of a gap needs to be overcome over the next three months.”
market is very concerned that this 90-day truce is a very short time frame to resolve this major dispute between the two countries and on top of that officials from both counties have been caught giving different statement altogether-however trump has already said that if they will not be able to find some solution this 90 day truce he will increase the tariff more-all the factors sucked are very bearish for the precious metal sector
Technicals-Our five positions in gold and silver are active, however, we believe buyers should be very cautious at this point as we believe 1200 level will be easily broken and there is not much support until 1180 which is very weak. Gold -0.73% -0.07% -0.37% 0.17% 0.69% likely will not be able to support around its psychological level if the U.S Dollar keeps rising and there are numerous factors which are suggesting the future dollar strength
The report suggests that Russia and Saudi Arabia is planning to extend the production of oil cuts-however Saudi Arabia seems not to agree with this and may not cut the production of oil yet-
Gold is trading at around $1236 while white metal made a steep decline and at the moment trading at 14.38 which implies that our position in white metal is profitable at the time of writing this report but the question is when gold will start its decline and how many days we need to wait for more to witness this immense decline in precious metal sector?
our study suggest that there is not much room left for gold to move higher and it seems that gold bulls are taking their last breath however it's still possible that this last breath could be bigger than we are anticipating and we can see more sideways movement in the upcoming days or yellow metal could even move slightly higher from this point-(it seems not likely though)
Please, note-Our five trading positions are active in gold and silver
our previous comments-U.S Treasury yields are also failing which concerns traders and investors as it shows the slow economic growth in U.S.Greenback has also found it's support and on the rise now after falling very sharply yesterday while crude oil prices are near steady and trading at around $53.one news which is more interesting which came out that One of the most influential Federal Reserve policymakers said on Tuesday that he expects further interest rate hikes continuing next year since the U.S. economy is "in really good shape," Beside that the U.S-China trade which drove the precious metal sector from months doesn't seem to over very soon as most of the analyst paid (including us)very close attention to the G20 meeting in which U.S president and China president met face to face-However market is filled with uncertainty and doubts and there are enough reasons to do this
- According to Bloomberg, “The U.S. and China emphasized different results from Sunday’s high-stakes meeting between Presidents Donald Trump and Xi Jinping, with the split highlighting how much of a gap needs to be overcome over the next three months.”
market is very concerned that this 90-day truce is a very short time frame to resolve this major dispute between the two countries and on top of that officials from both counties have been caught giving different statement altogether-however trump has already said that if they will not be able to find some solution this 90 day truce he will increase the tariff more-all the factors sucked are very bearish for the precious metal sector
Technicals-Our five positions in gold and silver are active, however, we believe buyers should be very cautious at this point as we believe 1200 level will be easily broken and there is not much support until 1180 which is very weak. Gold -0.73% -0.07% -0.37% 0.17% 0.69% likely will not be able to support around its psychological level if the U.S Dollar keeps rising and there are numerous factors which are suggesting the future dollar strength