Gold Closes Below 20 Day Moving Average....May Not Be The Risk Asset People are Looking For

Gold closed lower on Thursday and below the 20 day moving average crossing at 1743.90 confirming that a short term top has been posted. The low range close sets the stage for a steady to lower opening on Friday. Stochastics and the RSI are turning bearish hinting that a short term top might be in or is near. If December extends today's decline, the reaction low crossing at 1681.20 is the next downside target. Closes above Monday's high crossing at 1797.60 are needed to confirm that a short term top has been posted. First resistance is Monday's high crossing at 1797.60. Second resistance is the 75% retracement level of the 2008-2011 rally crossing at 1826.50. First support is today's low crossing at 1711.00. Second support is the reaction low crossing at 1681.20.

Silver closed sharply lower on Thursday and below the reaction low crossing at 32.130 confirming that a short term top has been posted. The low range close set the stage for a steady to lower opening on Friday. Stochastics and the RSI are bearish signaling that sideways to lower prices are possible near term. Closes above the reaction high crossing at 35.350 would confirm that a short term low has been posted. First resistance is the reaction high crossing at 35.350. Second resistance is the 62% retracement level of the August-September decline crossing at 37.383. First support is today's low crossing at 31.040. Second support is the reaction low crossing at 29.935.

Copper closed lower on Thursday and the low range close sets the stage for a steady to lower opening on Friday. Stochastics and the RSI remain neutral to bearish signaling that sideways to lower prices are possible near term. If December renews last week's decline, the reaction low crossing at 303.10 is the next downside target. If December renews the rally off October's low, the 50% retracement level of the August-October decline crossing at 35.242 is the next upside target. First resistance is the reaction high crossing at 375.00. Second resistance is the 50% retracement level of the August-September decline crossing at 377.74. First support is last Thursday's low crossing at 331.80. Second support is the reaction low crossing at 303.10.