Gold
With the Labour Day national holiday in the US today, it should be a quiet day for the precious metals. However, even though a firmer dollar and a bout of profit taking pulled gold back from $1000/oz last week, it only retreated as far as $986/oz before climbing back to $994/oz. This is a strong indicator that gold can maintain its bull trend. The next level of resistance is $997/oz with $1,005/oz and $1,032/oz thereafter.
Silver
Silver has been the star performer over the past couple of weeks, de-coupling from gold and bringing the gold/silver ratio down to 60:90. If this continues, a ratio of 55 would provide channel support. Due to the huge move in silver in a short period of time, investors should be aware that there may be profit taking and may need to be consolidation. The daily momentum in silver is overbought, the first time since June and it is currently at the top of its confluence of resistance which is $16.22/$16.33/oz. These pullbacks should indicate buying points rather than wholesale liquidation as silver looks to continue to push higher, despite short term corrections. While being overbought there remains the risk of a short squeeze which could propel silver prices higher.
Platinum group metals
Platinum is currently trading at $1,263/oz, palladium is $295/oz, rhodium is $1,500/$1,700/oz.