Gold futures in the December contract is currently trading at 1,509 after settling last Friday in New York at 1,457 up over $50 for the trading week hitting a 6-year high as interest rates in the United States and worldwide continue to drop precipitously weekly. China devalued its currency this week to an 11 year low against the U.S dollar as there is sheer panic worldwide that is causing gold prices to move higher as I am not involved, but I do believe higher prices are ahead.
If you are long a futures contract place the stop loss under the 2 week low standing at 1,412 as the charge structure is terrible at the current time due to the run-up in prices, however, I also have bullish recommendations in silver and platinum as money flows continue to enter into these sectors.
Gold prices are trading far above their 20 and 100-day moving average as this is probably the strongest trend besides the bond market at the current time as I see no reason to be short especially with all this worldwide uncertainty so if you are long-stay long. If you are not involved in this market, I would not chase this as that is very dangerous as you have missed the boat so move on and look at other markets that are beginning to trend with less risk.
CHART STRUCTURE: EXCELLENT
Silver futures in the September contract settled last Friday in New York at 16.39 an ounce while currently trading at 16.94 up about $0.55 as prices hit a 13 month high continuing its bullish momentum following the coattails of gold which is at a 6 year high.
Interest rates around the world continue to plunge to the downside as that is a fundamental bullish factor towards silver prices as I have been recommending a bullish position from the 14.93 level and if you took the trade continue to place the stop loss at 16.08 on a closing basis only as an exit strategy. Continue reading "Weekly Futures Recap With Mike Seery"