Extraordinary Trading In Last Night's Asian And European Markets

GOLD

I was up until 3am (Pacific Time) watching Asian and European Gold/Silver markets trading. In my 50+ years of seeing Gold/Silver trading, I would call last night’s trading extraordinary.

To recap: Yesterday, the Gold price closed the day in the U.S. at $1,910 per ounce, down $100 for the day. Last night, during Asian trading, Gold continued to fall, reaching a low of $1,875 (almost a $200 decline from last Friday’s highs). My discretionary purchases were complete between $1,885 and $1,895 per ounce. In late Asian trading and as the European markets opened, Gold started to rally. Clearly a major buyer stepped in and the price starting going up. After Gold broke above $1,900, the demand continued to increase and in late European trading, Gold reached $1,940 (a $65 increase from the lows). This was an inter-day reversal, which is very bullish for Gold and confirms the primary direction for the Gold price is higher. At 11am PT today, Gold is trading at $1,940 per ounce, up $8 from yesterday, on excellent volume.

SILVER

Silver hit a low of $23.48 before turning around with the Gold rally. After last night’s sell-off, Silver briefly rallied back above $26 and then sold off as the U.S. markets opened. At 11am PT today, Silver is trading at $25.85 per ounce, up $0.50 on excellent volume.