Market Commentary Gold opened at 1096.00/1097.00 and traded in a narrow range as investors moved to the sidelines, slipping to a low of 1094.50/1095.50. A notable revision to the housing price index caused the dollar to slump and gold rallied. The metal was swept higher as the London fix began and later peaked at 1107.50/1108.50. It traded quietly for the remainder of the session and finally unwound at 1103.50/1104.50. Silver opened at 1678.00/1681.00 in New York and like gold it traded sideways as the session began. It retreat to a low of 1671.00/1674.00 before good investor demand carried it higher as the dollar softened and it climbed above 1700.00. More buying entered the market taking out shorts and it managed to reach an intraday high of 1712.00/1715.00. Light profit taking pulled it from its highs to finally settle at 1700.00/1703.00. Technical Commentary Gold is closing at similar levels as yesterday at current 1103. The overall price formation from the last two months appears that of a Head and Shoulders Formation. With the neckline currently at 1105, the Techies are looking for a downside move to measured target 1058. Trading platform that even a 5 year old can trade. Join now The problem with that view is that Gold refuses to close below 1100, despite probes into the low 1090s the past two days. We remain neutral Gold due to the sideways price action. Silver is closing unchanged from the previous close at 16.97. Silver has probed lower the past two days through tech levels of 16.83 and 16.76 but on both occasions good buying has surfaced. The formation over the past two months looks that of a Double Top. A close below 16.76 will bring in fresh selling to a 16.02 target. The Gold Silver ratio is down on the day at 64.98. We see support at 64.13, the March low.

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