Daily Market Report 10/22/15

GOLD

Gold is trading in a very narrow $9 high/low trading range today. With an $1,163 per ounce low and $1,172 high, the Gold price is continuing to consolidate. Gold is definitely waiting for some fresh news that will give it direction. At 11am PDT today, Gold is trading at $1,167, up $1 on light volume.

SILVER

Right now Silver does not show that is has the demand to break above the key $16 per ounce short term resistance level. Silver reached a high of $15.94 per ounce this morning and that price generated professional short selling again. Many professional traders have developed an excellent and profitable strategy of selling Silver when it rallies above $15.90 per ounce and buying it back below $15.65. Traders are making a minimum of $0.25 per ounce, on a 5,000 CME Silver contract, that amounts to $1,250 per contract less brokerage fees. Silver needs to break above $16.40 per ounce to change this strategy. At 11am PDT today, Silver is trading at $15.83, up $0.10 per ounce on average volume.