GS: Asian Metals Market Update for 24th October, 2008
Base metals rose in the US session while gold, silver and crude oil found buyers on dips. There is lack of major market moving news and the trading has been based on technical factors. The US dollar has been steady against the majors except for the yen. This week commodities have fallen sharply and today’s close could set the direction for next week. All the negative news such as recession, slowdown etc has now been factored in by the markets. Traders and investors will now be looking forward to the Fed meeting next week and US October payrolls on 7th November for direction. Interest rate cuts by the Fed and European central banks by half a percentage have been fully factored in by the markets. We expect the US dollar to weaken once the interest rate cuts are done with.
Low risk traders should not trade til Diwlai for Diwali to be a happy Diwali. Laxmi ke din laxmi aani chaiye, jaani nahi chaiye. Trading opportunities will come and go every day. We can earn after Diwali. Happy and enjoyment should be more important than money. I have seen many traders incur huge losses before festivals and they have a frowning face during festivals. Do you want to have a frowning face in Diwali? If not then do not trade or trade less but profitably.
COMEX SILVER DECEMBER
If silver fails to break $1220 In November then it will fall to $880 and $764. Silver will break free from the recent $900-$1050 wider trading range soon.
Disclaimer: Any opinions as to the commentary, market information, and future direction of prices of specific currencies, metals and commodities reflect the views of the individual analyst, In no event shall Insignia Consultants or its employees have any liability for any losses incurred in connection with any decision made, action or inaction taken by any party in reliance upon the information provided in this material; or in any delays, inaccuracies, errors in, or omissions of Information. Nothing in this article is, or should be construed as, investment advice. Prepared By Chintan Karnani. Website www.insigniaconsultants.in
