Daily Market Report 10/5/16

GOLD

After Gold’s correction yesterday, based on U.S. manufacturing numbers, a lot of day traders cleared out their positions. We saw a strong bottom on Gold today when it hit $1,262. Now we are starting to see Gold recovering and developing a base. This is an excellent Gold buying opportunity if you are a long term buyer, as the U.S. Dollar has strengthened, weakening the value of Gold, and clearing out all the weak hands. Short term buyers may want to wait until after the Friday U.S. Job’s Report is released. At 11am PDT today, Gold is trading at $1,268 per ounce, down $4 on above average volume.

SILVER

Silver is following Gold’s lead today, especially after dropping below the $18 per ounce level yesterday. After yesterday’s low, we are seeing Silver support at $17.45. I would not be surprised to see Silver test the $18 support level again in the very near future. At 11am PDT today, Silver is trading at $17.86 per ounce, down $0.01 on above average volume.