Jim Wyckoff - Daily Gold Market Updates

Gold and silver prices are holding good gains in early U.S. trading Tuesday. The two precious metals markets' bulls are beginning to reckon prices have stabilized as downtrends on the daily bar charts may be stalling out, evidenced by recent sideways trading. It’s a quieter U.S. data week and the summertime doldrums may be starting to pervade the general marketplace. August gold was last up $48.70 at $4,065.80. September silver prices were last up $2.02 at $59.10.

U.S., Iran militaries continue to strike targets. The U.S. and Iran exchanged strikes for a 10th consecutive day Tuesday, even as mediators sought to revive a truce, while the Houthi militant group in Yemen threatened shipping in the Red Sea, Bloomberg reported. “The U.S. Central Command said military command centers, launch sites and air defenses in Iran were targeted, and Iran attacked U.S. military sites in Kuwait and Jordan. The U.K. navy reported strikes on two vessels around the Strait of Hormuz,” said the report. “Every time Iran kills an American soldier they will pay for that killing many times over!” Trump wrote in a social media post. Mediators are scrambling to revive the truce after the June 17 accord unraveled.

Trump administration vows to impose fresh 50% tariff on some Canadian goods…. The move comes as the U.S. claims unfair Canadian treatment of American alcohol, cars and dairy products. “The items subject to the new tariff include milk, hockey equipment, beer and plywood — but not major resource imports such as energy, potash and critical minerals.

The tariffs are being applied under Section 338 of the 1930 Tariff Act, which gives the president the power to impose duties of as much as 50% on countries deemed to discriminate against US commerce,” said a Bloomberg report.

The key outside markets today see the U.S. dollar index slightly down. August Nymex WTI crude oil prices are firmer and trading around $83.50 a barrel. The yield on the benchmark 10-year U.S. Treasury yield is presently 4.58%.

Technically, August gold futures prices are still in a downtrend on the daily bar chart, but the bulls can begin to argue that price downtrend may be stalling out. Bulls’ next upside price objective is to produce a close above solid resistance at the July high of $4,238.10. Bears' next near-term downside price objective is pushing futures prices below solid technical support at the June low of $3,955.40. First resistance is seen at $4,100.00 and then at $4,162.60. First support is seen at $4,000.00 and then at $3,955.40. Wyckoff's Market Rating: 2.5

September silver futures bulls see a price downtrend on the daily bar chart appearing to be stalling out. The next upside price objective for the bulls is closing prices above solid technical resistance at $65.00. The next downside price objective for the bears is closing prices below solid support at $50.00. First resistance is seen at $60.00 and then at $61.195. Next support is seen at $57.00 and then at last week’s low of $55.00. Wyckoff's Market Rating: 2.5