GOLD / SILVER
While the gold market showed minor gains early overnight action in gold saw lower prices in major global hubs and premiums in India continue to fall suggesting the path of least resistance for US gold is pointing downward. While silver ETF holdings increased yesterday, gold ETF holdings declined but the investment outlook for gold and silver leaves the trading week mostly negative.
The platinum market showed a 2nd straight day of extensive range trading yesterday with a range of $45. However, the action this week suggests that the $1,000 level is potentially a numeric and psychological support/pivot zone. However, the platinum market lost ground on the palladium market yesterday and that is very surprising.
While the March copper contract literally exploded on the upside yesterday prices have retrenched aggressively this morning creating the impression of a temporary top. In fact, with the copper market forging a massive daily trading range of 14.3 cents yesterday and more than likely holding a record net spec and fund long positioning, bearish technical forces should temporarily take control over fundamentals.
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