(Kitco News) - Gold prices ended the U.S. day session solidly higher and closed at a 13-month high close Thursday. Weaker U.S. stock indexes and a sell-off in the U.S. dollar index were bullish elements for the precious metal on this day. A firmly bullish near-term technical posture for gold continues to invite chart-based buying interest. April Comex gold was last up $16.00 at $1,257.80 an ounce. May Comex silver was last up $0.158 at $15.18 an ounce.
The world marketplace awaits the February U.S. employment report from the Labor Department on Friday morning. That’s arguably the most important U.S. economic data point of the month. The key non-farm payrolls component of the jobs report is expected to show a rise of around 200,000. Look for more active trading in many markets, including gold, in the aftermath of the 8:30 a.m. EST report.
Traders and investors are also awaiting the National People’s Congress meeting in China that begins Saturday. Fresh economic plans are expected to be laid out by Chinese government officials.
The other key “outside market” on Thursday saw crude oil prices trade near steady, with Nymex April futures hovering just below $35.00 a barrel. Crude oil’s daily price movements continue to have at least some influence on daily price action in world stock markets.
Technically, April gold futures prices closed nearer the session high and closed at a 13-month high close today. Prices are in a 2.5-month-old uptrend on the daily bar chart and bulls have the solid overall near-term technical advantage. Gold bulls’ next upside near-term price breakout objective is to produce a close above solid technical resistance at the February high of $1,263.90. Bears' next near-term downside price breakout objective is pushing prices below solid technical support at 1,220.00. First resistance is seen at today’s high of $1,261.30 and then at $1,263.90. First support is seen at $1,250.00 and then at today’s low of $1,238.00. Wyckoff’s Market Rating: 8.0
May silver futures prices closed nearer the session high today on more short covering. The silver market bears still have the overall near-term technical advantage. Prices are in a three-week-old uptrend on the daily bar chart. Silver bulls’ next upside price breakout objective is closing prices above solid technical resistance at the February high of $16.005 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at this week’s low of $14.61. First resistance is seen at today’s high of $15.225 and then at $15.50. Next support is seen at $15.00 and then at today’s low of $14.865. Wyckoff's Market Rating: 4.0.
May N.Y. copper closed up 265 points at 220.75 cents today. Prices closed near the session high and hit another 3.5-month high today. The copper bulls have regained the slight overall near-term technical advantage. Prices are in a six-week-old uptrend on the daily bar chart. Copper bulls' next upside breakout objective is pushing and closing prices above solid technical resistance at 225.00 cents. The next downside price breakout objective for the bears is closing prices below solid technical support at the 207.00 cents. First resistance is seen at today’s high of 220.95 cents and then at 222.50 cents. First support is seen at today’s low of 217.05 cents and then at 215.00 cents. Wyckoff's Market Rating: 5.5.
By Jim Wyckoff, contributing to Kitco News; jwyckoff@kitco.com
Follow me on Twitter @jimwyckoff
