Platinum Group Slumps This Morning

By Peter Aan

Metals opened Sunday night close to unchanged from Friday afternoon levels, but found some buyers as we worked into Monday morning, although Platinum and Palladium began to slump.

Gold
Gold closed a little lower on Friday, but is recovering this morning. I see no reason not to look for higher prices and more highs for this move.

Silver
Silver had a key reversal day on Friday, a bearish sign, but is slightly higher this morning. A close today below Friday’s low of 15.140 (September contract) would be disappointing to the bulls. I think the trend will prevail, though, and continue to look for higher prices.

Platinum
Platinum is down slightly as I write this, and is trading in a rather tight range formed with Thursday’s and Friday’s action. A close today below Friday’s low of 985.80 (October) would be slightly bearish, but I remain bullish for now.

Palladium
Palladium is moderately lower this morning, and is the closest of these metals to looking like it may turn south. Certainly a close below Friday’s low of 611.20 (September) would be hint of lower prices. Barring that, I remain cautiously bullish.

Peter Aan joined Dillon Gage in 1983, and is currently a metals trader for our metals division. He is the author of numerous articles for Futures magazine and Stocks and Commodities magazine. He is the author of The Relative Strength Index: A Comprehensive Research Report and a co-author of Trading Tactics: A Livestock Futures Anthology, published by the Chicago Mercantile Exchange.