Daily Market Report 03/23/12

GOLD
Yesterday was a key day in the direction of gold and silver over the short term. On negative news gold tested its support level, at one point of the day hit $1627.00 per ounce, then, a rally on a good volume of buying back to $1,648.20 per ounce.  It was a very impressive trading day for Gold, considering the overall bearish news.  Today, a combination of a weaker U.S. Dollar and a rally in Oil has driven heavy buying into gold and silver. At 11an PDT, Gold is trading at $1,664.90 per ounce, up $22.90 on average volume. This is a good sign especially since we expected to see light trading going into the weekend.

On the physical side, jewelry shops reopened in India after a five-day strike opposing a new duty hike on imports, but the metal was trading at a one percent discount over the London spot price, with no buyers visible.

SILVER
Yesterday, Silver was not so impressive, as it did not hold the $32.00 support level.  At one point yesterday Silver reached $31.01 per ounce before closing at $31.55 per ounce. Many of the short term professional silver traders believe if silver cannot stay above $32 today and Monday, it could see $30 per ounce before making a major turn up. However, in today’s US trading we have seen silver go from an opening low of $31.52 to going over $32 an ounce on average trading volume.  At 11am PDT, Silver is trading up $0.84 per ounce, at $32.33 per ounce. This is showing some good support going into the weekend. However, I’d still like to see how Asian and European markets support the $32 trading level.

PLATINUM
This recent correction affected Platinum more than gold, and you have a second chance to purchase Platinum at a discount to gold, just as the new 1oz Platinum Maple Lefts are being released. Give it some serious thought.