Kitco News) Gold and silver prices are higher in early U.S. trading Monday, with silver prices scoring an 11-month high and closing in on $20. Buying interest continues to be fueled by bullish charts and worrisome geopolitical elements that are lingering just off the front burner of the marketplace. August gold futures were last up $12.90 an ounce at $1,814.70. September Comex silver prices were last up $0.537 at $19.595 an ounce.
Global stock markets were mostly up in overnight trading. The U.S. stock indexes are pointed toward higher openings when the New York day session begins. It’s a busy week for the marketplace, as corporate earnings, central bank meetings and GDP data from China are due.
Equities traders and investors on Monday are once again looking past the Covid-19 pandemic, which saw a record number of daily infections reported over the weekend in Florida, and instead looking at improving global economies and generally better-than-expected economic data being reported as businesses around the globe are reopening from their springtime lockdowns.
Rising tensions between the U.S. and China are not yet back on the front burner of the marketplace, but they are close. The world’s two largest economies continue to trade barbs and levy sanctions on each other.
The important outside markets today see Nymex crude oil prices lower and trading around $39.00 a barrel. The U.S. dollar index is slightly down early today. The yield on the benchmark U.S. Treasury 10-year note has dipped this week and is currently around the 0.6% level.
There is no major U.S. economic data due for release Monday, but pace picks up rapidly Tuesday.
Technically, the gold bulls have the strong overall near-term technical advantage. Bulls’ next upside price objective is to produce a close in August futures above solid resistance at $1,850.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at last week’s low of $1,779.20. First resistance is seen at $1,817.00 and then at $1,825.50. First support is seen at today’s low of $1,802.10 and then at $1,800.00. Wyckoff’s Market Rating: 8.5
September silver futures bulls have the solid overall near-term technical advantage. Silver bulls’ next upside price objective is closing prices above solid technical resistance at $20.00 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $18.00. First resistance is seen at $19.75 and then at $20.00. Next support is seen at $19.25 and then at the overnight low of $19.08. Wyckoff’s Market Rating: 8.5.