Daily Market Update 04/17/12

GOLD

Interesting article in Monday’s Wall Street Journal about gold, it was mostly negative, but there were a few bullish comments “Bullion bulls still see potential gains as the world works through its problems, including Europe’s debt woes and the Fed’s bloated balance sheet. Central banks also have become big net buyers of gold, with the official sector absorbing 455 metric tons last year, more than at any point since the mid-1960’s” “Gold could top $1,900 this year, although the pace of gains is expected to be slow.”

At 11am PDT today, Gold is trading at $1,651.10 per ounce, down $0.60 per ounce on an average volume of trading. Gold has traded in a $24 high/low range.

SILVER

Today, Silver is showing more strength than Gold; volume is stronger and continues to consolidate in the $31.00 to $32.00 price range. If consolidation in Silver has told us anything in the past, it is that the longer it consolidates, the more violent its pending move will be when it finally breaks out of the current range. At 11am PDT, Silver is up $0.27 per ounce, trading at $31.83 per ounce.