Gold and silver prices are solidly lower in early-afternoon U.S. trading Thursday. Some profit taking from recent gains was featured today and no significant chart damage occurred from today’s losses. Pressure also came from downbeat economic data coming out of China and by a firmer U.S. dollar index today. April gold futures were last down $13.40 an ounce at $1,295.90. May Comex silver was last down $0.266 at $15.19 an ounce.
China’s industrial output fell to a 17-year low in February, at up just 0.43% from January. Year-on-year, the number was up 5.3%. This report weighed on the gold and silver markets today, as China’s economy is the major metals consumer worldwide.
Technically, April gold prices closed nearer the session low today. The bulls still have the overall near-term technical edge but faded today and need to show fresh power soon to keep their advantage. Gold bulls' next upside near-term price breakout objective is to produce a close above solid technical resistance at $1,320.00. Bears' next near-term downside price breakout objective is pushing prices below solid technical support at $1,275.00. First resistance is seen at $1,300.00 and then at this week’s high of $1,311.60. First support is seen at this week’s low of $1,290.60 and then at $1,285.60. Wyckoff's Market Rating: 6.0
silver futures prices closed nearer the session low today. The silver bulls have the slight overall near-term technical advantage but faded today and need to show fresh power soon to keep their edge. Silver bulls' next upside price breakout objective is closing prices above solid technical resistance at $15.75 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $14.75. First resistance is seen at today’s high of $15.47 and then at this week’s high of $15.55. Next support is seen at today’s low of $15.135 and then at $15.00. Wyckoff's Market Rating: 5.5.