The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.
NEW YORK ( TheLFB-Forex) -- There are very few news wire headlines to impact gold (1520) and silver (34.60) bullion trade. The precious metal markets continue to trade in tight ranges, with the majority of any 24-hour price movement being contained in one or two 30-minute periods of trade.
Today is not the day to be looking for gold and silver bullion trades.
Outlook:Gold and silver trade is oversold in the near-term, with a neutral mid-term momentum read. The four-hour trends are flattening out, which sets up a sell-the-test-of-resistance play from the next upside move toward 1550 on gold and 37.50 on silver. The buy-the-dip play at support around 1505 and 34.00 is now going to be closely monitored. The last 12 months of gold and silver trade have shown a strong tendency to find buyers at support.
The potential for trade signals to form today is weak, as volatile periods of trade continue to hit the bullion markets. Moves higher through resistance are struggling to hold for more than one trading session at a time. With equity momentum looking like it will transpose itself into USD mid-term buying, moves higher in gold and silver trade will continue to be choppy and overlapping.Any existing gold or silver positions should be closely monitored while recent price action is absorbed. There have been very few clear-cut signals in the bullion market recently. Potential short signals are against the overall trend and have not yet confirmed they can easily follow through.