Overnight: Commodities and stocks were lower with the GBP leading the way to 31 year lows. Gold and Silver gave back some gains from their Monday electronic session but remain above Friday's close. Expect increased volatility in the PM sector as it wrestles with its newly recognized currency status.-by Soren K.
Headlines
- GBP TUMBLES TO 31 YEAR LOW- RTRS
- SILVER NOT REALLY A PRECIOUS METAL- BBERG INTERVIEWER TO RIC SPOONER- she's not really an analyst
- GOLD CAN REACH $1470-1500 BY YEAR END- RIC SPOONER CMC MKTS CHIEF ANALYST- to alleged bberg interviewer
- BOE CUTS CAPITAL BUFFERS FOR BANKS- because the plunging pound means less risk?
- BARCLAYS EMPLOYEES GUILTY OF LIBOR RIGGING- BBerg Barclay's ceo innocent. We ranted on this HERE
Silver Volatility Spikes- remain calm
chart courtesy of Bloomberg
Gold-GCQ (1344.90 friday) TRP 1294.70
- a close over 1355 today is bullish and indicates a drive t o1380,
- dips should flag above 1310
- a close under the TRP negates the run
Spot Gold
Silver- SIU (1985.5 friday) TRP 1891
- The run to 2100 on Monday was sufficient for now.
- Expect healthy pullbacks above 1925
- only a close under TRP reverses the trend
- Traders- Widen stops and lighten volume.
- Investors should not care. Volatility is not risk if your unleveraged in physical.
Silver: prepare for Volatility
Pound Sterling-GBP (132.83) TRP 138.49
- we are looking at monthly charts on this one.
- little between 130.50 and 125 in the way of support
- TRP is a long way above so expect whippy counter trend rallies
GBP- Convergence with the Euro is your Fate
Other Reading
What's Next For Silver- Kitco News
Silver not Really Precious- BBerg- watch as Spooner bites his tongue during first 20 seconds
Good Luck
- Soren K.
Read more by Soren K.Group
