Dillon Gage is proud to offer the following insights into the precious metals market from Roy Friedman. Roy has over 3o years of in-depth experience in all facets of precious metals. We will offer Roy’s comments several times each week.
London is closed today for a holiday and overnight trading has been light. As expected, the elections in France and Greece will only add additional anxiety to global financial markets. In France, Socialist Francois Hollande defeated Nicolas Sarkozy by a smaller than expected margin in the presidential election; while in Greece, the two major parties, which continue to support Greece’s continued participation in the European Union, saw their support fall dramatically in yesterday’s election and no longer have the votes necessary to form a coalition government.
The initial overnight reaction was a stronger USD and US bond market, while precious metals, crude oil and stock index futures were sold down. The Euro traded below 1.30 in the Asian time zone, as gold and silver made early lows of $1,635.00 and $30.00. As trading continued into Europe, the markets remained quiet as they drifted closer to Friday’s closing levels. Support in gold stands at $1,625.00 and $1,615.00, while resistance will be found at $1,645.00 and the 100-day moving average at $1,671.00. Silver support stands at $29.75, while resistance will be encountered at $30.50 and $31.00.
Roy Friedman has a degree in economics and political science from the State University of New York at Binghamton. For more than 30 years, he has worked at all levels of he industry including as a trader for major Metals firms and international banks. For more information on Mr. Friedman, please click here.