The precious metals are weaker after yesterday’s mixed session.
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The precious metals are weaker after yesterday’s mixed session. You have gold down $5.19 91. Silver down $0.05, 20 to 85. Copper’s up three at 3.62 and platinum down two at 906. So some overnight news that we’re monitoring here. U.S. forces had attacked two facilities in eastern Syria that are being utilized by Iran affiliated groups.
So Iran has been provoking the U.S. and also Israel in this conflict by utilizing Hezbollah type of assets. Also on a different front, U.S. equities came under quite a bit of pressure here yesterday and we saw global funds, the outflows for the week so far, $2.1 billion. Now, where that money is going directly into the tech sector, which is quite surprising.
So those seven stocks that are holding up the tech sector right now are performing quite well. They’re outperforming the market. And that’s where all the zero options are going and also aware of the flow of funds are going. So you’ll want to monitor Middle East tensions, really, the Nasdaq, as far as if we see liftoff on that, that could really bring back some of the precious metals.
You could see that outflow where it’s a risk type trade. So they’re also chasing the U.S. dollar and Treasury yields as well. Now, looking at some things that we’re going to be watching here today. Personal income, personal spending, those are the preferred measures of economic strength by the Federal Reserve. So they really put a lot of weight in this market, expected to be a market moving headline.
Looking at the precious metals, though, the current trend right now on gold still bullish. It’s holding this flag pattern. We had that $175 rally. Now we’ve got this sideways pattern, the 200 day moving average, 1983. That’s your support. That’s really the bottom of the penny 2000. We’ve been unable to close above that. That’s been your resistance point. So we need to get a close over 2000.
And this type of conflict, we went from $21 to about $24. So not quite as punch. And I really believe that this Middle East is much of a bigger ordeal than the Russia Ukraine. So looking at some key levels here of resistance, you’ve got the 50 day moving average, 2319, the 200 day moving average, which was where silver failed at, is 2390.
Your key level support 20 to 10. We go back below that, they’re going to liquidate this thing and it’s going to go probably back down to that $21 level. So keep an eye on that level right there, 20 to 12 break below there. We could go back down to $21. So I want to reiterate that if you got any questions, futures options trading, give me a call.
Remember, futures and options trading of all sorts. Goliath’s been up to suitable time busters. Good luck and good trading.
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