(Kitco News) - Gold prices ended the U.S. day session modestly higher and near the middle of the day’s trading range Tuesday, on safe-haven buying after coordinated terrorist strikes in Brussels, Belgium. April Comex gold was last up $3.40 at $1,247.60 an ounce. May Comex silver was last up $0.018 at $15.865 an ounce.
Risk aversion was back in the marketplace Tuesday, but not in panic fashion, following the terrorist attacks that occurred in Brussels. At least 31 people were killed and scores injured in two separate attacks. One attack occurred with two bombs set off at the Brussels airport, which is now closed. The other attack occurred at a metro train station by a suicide bomber. All public transit in Brussels was immediately closed.
World stock markets saw selling pressure in the wake of the attacks, but the selling was not heavy and stock markets came up from their lowest levels seen in the aftermath of the attacks. U.S. stock indexes were firmer in early afternoon trading Tuesday. Unfortunately, these types of major terror attacks are no longer extremely rare, which means the marketplace’s focus and reaction to such events is becoming shorter-lived.
Other safe-haven assets are also benefitted from the risk aversion Tuesday, as the U.S. dollar index and U.S. Treasuries were also trading higher. Crude oil prices traded not far from unchanged Tuesday. However, the near-term price uptrend in place for crude oil suggests oil prices can continue to trend sideways to higher. That’s also bullish for the entire raw commodity sector, including the precious metals.
U.S. economic data released Tuesday has little impact on markets, as attention was on the situation in Brussels.
Technically, April gold futures prices closed near mid-range. Gold bulls have the 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 March high of $1,287.80. Bears' next near-term downside price breakout objective is pushing prices below solid technical support at last week’s low of 1,226.00. First resistance is seen at today’s high of $1,260.90 and then at $1,263.90. First support is seen at Monday’s low of $1,241.20 and then at $1,230.00. Wyckoff’s Market Rating: 7.0
May silver futures prices closed nearer the session low. Prices last Friday hit a 4.5-month high. The silver market bulls have the overall near-term technical advantage. Silver bulls’ next upside price breakout objective is closing prices above solid technical resistance at the October high of $16.372 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $15.165. First resistance is seen at today’s high of $16.04 and then at last week’s high of $16.17. Next support is seen at this week’s low of $15.725 and then at $15.565. Wyckoff's Market Rating: 6.0.
May N.Y. copper closed down 45 points at 228.85 cents today. Prices closed nearer the session high today. Prices last Friday hit a 4.5-month high. The copper bulls have the overall near-term technical advantage. Prices are in a nine-week-old uptrend on the daily bar chart. Copper bulls' next upside breakout objective is pushing and closing prices above solid technical resistance at 240.00 cents. The next downside price breakout objective for the bears is closing prices below solid technical support at the 215.00 cents. First resistance is seen at last week’s high of 2.3235 cents and then at 235.00 cents. First support is seen at this week’s low of 227.00 cents and then at 225.00 cents. Wyckoff's Market Rating: 6.0.
By Jim Wyckoff, contributing to Kitco News; jwyckoff@kitco.com
Follow me on Twitter @jimwyckoff
