November  03,  2011    
Dear  , 

Words not used to describe the precious metals markets are dull and stagnant. In a surprise move the European central bank today cut its key interest rate. This prompted a nice rally in the raw commodity sectors as rumors surfaced that global monetary policy easing could be expanded to a greater degree. This of course was a bullish influence on the precious metals markets and we witnessed gold trade over $25 higher on today's trading closing above 1765 per ounce. Silver also traded higher today closing $.21 higher at 34.48 per ounce.

The continuing saga or roller coaster ride of the European unions debt crisis now sees uncertainty as to whether Greece will hold a referendum vote. This vote which would be by the Greek population itself was widely believed to not show support for last week's EU bailout created and planned at the Brussels summit.

As the US dollar remained under pressure today gold was once again perceived more as a safe haven investment. It would not surprise me to see gold's luster return as more than a benchmark against which currencies are rated, but rather the new currency of choice.
 
As always, wishing you good trading.  

 

 gary@thegoldforecast.com 

On Skype gary.s.wagner 

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Proper Action

Gold & Silver: 

 From Yesterday "the prudent move is to 

position yourself on the long side of both these markets"

 

Maintain Long Gold @ 1739 stop @ 1695

Maintain Long Silver @ 34.29 stop @ 32.90

 



MARKET FORECAST

Gary S. Wagner


  



 GOLD: Tuesday's low of 1681 has remained as the major support level for gold. We were looking for gold prices to remain above 1725 which technically would signal higher prices, we got that yesterday and we are now looking at gold pricing to test our first target at 1775. 

Our upper-level target still remains above 1800 dollars per ounce at 1826. 

 

 

 

SILVER: We are looking for silver to move to higher prices but first needs to break above 35.05, which I believe has been providing critical resistance is seen in our recent top at the end of October. If silver is able to trade on a closing basis above that price point my optimism will increase my bullish sentiment will grow and my next target is 37.83 which is a 50% retracement from the recent fall from $44 to $26 per ounce.

 

Copyright (c) 2011 Wagner Financial Group 
 
Before deciding to participate in Gold or Silver investments, you should carefully  consider your investment objectives, level of experience and risk appetite. Most importantly with futures activity do not invest money you cannot afford to lose.There is considerable exposure to risk in any futures exchange transaction, including, but not limited to, leverage,and market volatility that may substantially affect the price of  gold and /or silver. Moreover, the leveraged nature of futures trading means that any market movement will have an equally proportional effect on your deposited funds. This may work against you as well as for you.