What’s Up, What’s Down: Gold Still Displaying a Bull Pennant

Comments for Tuesday, September 1, 2009

Looking Ahead to Today by Reflecting Back at Friday’s Price Action


Higher settlement Monday for silver but lower for gold, copper and platinum. All of the metals continue to be in uptrends overall in choppy daily action. Copper settled sharply lower after breaking out of a bull flag to the upside on Friday taking out the lows of the last five trading session. Still, this market is in a strong uptrend overall. Gold broke out of its BULL PENNANT on Friday and still is in a large BULL TRIANGLE with its gradual uptrend still in tact. Silver had its highest high and close in two and one half weeks getting through a good part of a resistance area that started around 1450 basis the December contract. A close over 1500 would look very good. Platinum settled lower but its highs and low lows are converging and a breakout in either direction is imminent. However, like the other metals, its trend is still higher.

Download my special report on trading the mini-gold and mini-silver futures contracts. Visit https://www.zaner.com/3.0/ralex1.asp.

Silver Chart


Higher close yesterday for the eurodollar but lower for the bonds and notes. Like a broken record the eurodollar continues to be in an uptrend making another new contract high and close. The bonds made their highest high and close since July 8th while the notes had its highest close since July 10th making another Buy Signal. I hold technical Buy Signals for both Bonds and Notes.

Treasury Chart

See the balance of my morning comments, including the Metals, Softs, Energies and Grains, at my website. For my complete coverage, visit my commentary page at www.markethead.com.

Rick Alexander has been a broker and analyst in the futures business for over thirty years. He is a Vice-President for Sales and Trading at the Zaner Group (www.zaner.com) a Chicago-based futures brokerage firm. If you would like a free booklet explaining the charts mentioned above, email Rick at ralexander@zaner.com.