Daily Market Report 8/27/13

GOLD

Up, up and away for Gold today! Breaking above the $1,400 per ounce resistance level on solid volume caused many of the professional traders to cover short sales. After suffering through the recent decline in prices the bulls now have the Gold market firmly in hand. Talk of a potential Syrian rocket strike has had some short term positive effect on the Gold market, but right now it isn’t a major factor. The next resistance level is around $1,458 per ounce, which will be tested in September.

At 11am PDT today, Gold is trading at $1,419 per ounce, up $26 per ounce on heavy volume.

SILVER

Silver continues to take its lead from Gold by increasing at a higher percentage. This morning Silver tested the $24 per ounce level, reaching $23.96, then rallied sharply higher as Gold moved up. $25 per ounce could be an important resistance level, however I expect to see Silver consolidate at current levels and maybe test $24 per ounce a couple times.

At 11am PDT today, Silver is trading at $24.60 per ounce, up $0.58 per ounce on excellent volume.