(Kitco News) - Gold and silver prices are moderately up and have hit five-week highs in midday U.S. futures trading Wednesday. More safe-haven demand is featured at mid-week, as the economic ramifications from the coronavirus outbreak remain very uncertain. The near-term technical postures for both metals have also turned more bullish, which is inviting the chart-based buyers to the long side of the markets. April gold futures were last up $8.00 an ounce at $1,611.60. March Comex silver prices were last up $0.155 at $18.305 an ounce.
Risk aversion in the global marketplace has receded Wednesday. It appears the spread of the coronavirus illness (now officially called covid 19) to humans has slowed and that’s somewhat encouraging to the marketplace. However, the economic consequences of the outbreak are still playing out. What traders, investors, analysts and other market watchers are discovering is that the global supply chain sees many of its links in China, and with much of China’s population still in quarantine, many global businesses—especially manufacturers--are suffering and may continue to do so for a while. There are anecdotal reports coming out of China that paint a dire picture of the situation there, regarding local commerce. The uncertainty regarding when the global supply chain will return to normal is likely to continue to squelch trader and investor risk appetite for at least the near term. That’s bullish for the precious metals markets.
The key outside markets today see crude oil prices higher and trading around $53.35 a barrel. Meantime, the U.S. dollar index is up and hit another multi-month high in midday U.S. trading. The greenback bulls have flexed their muscles lately, partly on safe-haven demand amid the heightened global uncertainty.
![Live 24 hours gold chart [Kitco Inc.]](https://www.kitco.com/images/live/gold.gif?0.2924175530478188){kind=small}
Technically, April gold futures prices closed nearer the session high and hit another five-week high today. The bulls have the solid overall near-term technical advantage. A three-month-old price uptrend is in place on the daily bar chart. Gold bulls' next upside near-term price breakout objective is to produce a close above solid technical resistance at the January high of $1,619.60. Bears' next near-term downside price breakout objective is pushing prices below solid technical support at this week’s low of $1,581.80. First resistance is seen at today’s high of $1,614.40 and then at $1,619.60. First support is seen at today’s low of $1,602.40 and then at $1,600.00. Wyckoff's Market Rating: 8.0
![Live 24 hours silver chart [ Kitco Inc. ]](https://www.kitco.com/images/live/silver.gif)
March silver futures prices closed near mid-range and hit a five-week high today. The silver bulls have the overall near-term technical advantage. Silver bulls’ next upside price breakout objective is closing prices above solid technical resistance at the January high of $18.895 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at the January low of $17.28. First resistance is seen at today’s high of $18.39 and then at $18.50. Next support is seen at today’s low of $18.135 and then at $18.00. Wyckoff's Market Rating: 6.0.
March N.Y. copper closed up 20 points at 260.60 cents today. Prices closed near mid-range today. The copper bears have the overall near-term technical advantage. However, recent upside price action suggests a market bottom is in place. Copper bulls' next upside price objective is pushing and closing prices above solid technical resistance at 270.00 cents. The next downside price objective for the bears is closing prices below solid technical support at the February low of 248.75 cents. First resistance is seen at this week’s high of 263.25 cents and then at 265.00 cents. First support is seen at today’s low of 257.75 cents and then at 255.00 cents. Wyckoff's Market Rating: 3.0.
