Gold futures in the August contract settled last Friday in New York at 1,780 while currently trading at 1,788 an ounce in a holiday-shortened trading week continuing it's bullish momentum as prices did crack the critical 1,800 level earlier in the week.
Currently, I am not involved as my only precious metal recommendation is a bullish silver trade. However, I do have a bullish bias as I do think gold prices will crack the 2,000 level, and if you are long a futures contract, I would place the stop-loss at the 10-day low standing at 1,753 as an exit strategy as the chart structure is outstanding at the current time. Gold prices are trading above their 20 and 100-day moving average as the trend remains to the upside as prices still finished about $9 higher today even though the jobs number came out, adding 4.8 million jobs, which is remarkable in my opinion as that is generally a fundamental bearish factor. Still, there is a lot of demand for gold at present. The Federal Reserve continues to promise that they will add more liquidity to the system with another possible 1 or 2 trillion-dollar stimulus package on the way that should continue to push gold higher, so stay long as I see no reason to be short.
CHART STRUCTURE: EXCELLENT
S&P 500 Futures
The S&P 500 in the September contract is trading higher for the 4th consecutive session reacting very positively to the unemployment number, which was released today, stating that the United States added 4.8 million jobs sending prices up 41 points currently trading at 3,144 or 1.33% higher. If you've been following my previous blogs, you understand that I am not involved. Still, I do have a bullish bias as I think the equity markets will continue to move higher as I see no reason to be short as the Nasdaq-100, which has hit another all-time high in today's trade. Continue reading "Outstanding Jobs Number Catapults Futures"