SILVER 1 OZ 999 NY (XAG=X) focus on the U.S. mid-term elections
This week precious metals traders will be focused on the U.S. mid-term elections and the Federal Reserve’s November meeting as markets continue to digest Friday’s strong U.S. jobs report.
Voters on Tuesday will decide key races in Congress and state governments and the results could influence the Trump administrations ability to pass additional tax and trade reforms.
The Fed will begin its two day meeting on Wednesday, with markets anticipating no change to interest rates ahead of a widely expected rate hike in December.
Investors will also be watching Monday’s non-manufacturing PMI data from the Institute of Supply Management, as well as Thursday’s weekly jobless claims figures and Friday’s report on consumer sentiment.
Silver settled up 3.63% at $14.745 a troy ounce, to end the week up 0.49%
Overall, the bias in prices is: Downwards.
The projected upper bound is: 15.16.
The projected lower bound is: 14.26.
The projected closing price is: 14.71.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 19 white candles and 30 black candles for a net of 11 black candles.
A bearish harami occurred (where the current small black body is contained within an unusually large white body). During an uptrend (which appears to be the case with PREC.M.XAG=) this pattern implies an end to the rally as the bulls appear to have exhausted themselves.
During a downtrend the bearish harami pattern is bullish as the bulls appear to be gaining strength as the bears weaken.
A spinning top occurred (a spinning top is a candle with a small real body). Spinning tops identify a session in which there is little price action (as defined by the difference between the open and the close). During a rally or near new highs, a spinning top can be a sign that prices are losing momentum and the bulls may be in trouble.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 55.5615. This is not an overbought or oversold reading. The last signal was a buy 1 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 55.93. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 42 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 123.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a buy 1 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 4 period(s) ago.
Rex Takasugi – TD Profile
PREC.M.XAG= closed down -0.027 at 14.713. Volume was -0% below average (neutral) and Bollinger Bands were 37% narrower than normal.
Open High Low Close Volume___
14.726 14.911 14.600 14.713 0
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 14.58 14.43 15.78
Volatility: 25 20 20
Volume: 0 0 0
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
PREC.M.XAG= is currently 6.7% below its 200-period moving average and is in an upward trend. Volatility is extremely high when compared to the average volatility over the last 10 periods. There is a good possibility that volatility will decrease and prices will stabilize in the near term. Our volume indicators reflect very strong flows of volume into XAG= (bullish). Our trend forecasting oscillators are currently bullish on XAG= and have had this outlook for the last 26 periods.