It looks a lot like Christmas, with large-scale gatherings across multiple asset classes
It looks a lot like Christmas. Today, market participants have seen rallies in the financial markets. US stocks, precious metals and cryptocurrencies all posted gains today with a widespread rally across most asset classes.
The Standard & Poor’s 500 index closed today at a new high, and the Dow Jones Industrial Average and the NASDAQ composite posted significant gains. In the cryptocurrency space, bitcoin gained around 4.4% and ethereum gained around 3.13%.
Precious metals posted gains across the board, with palladium having the largest percentage gain of 3.29%. Currently, palladium futures are pegged at $ 1951.50. Platinum futures have gained 0.65% and are currently pegged at $ 974.70. Silver Futures have gained 0.44% and are currently pegged at $ 22.925, and finally Gold Futures have gained 0.40% and are currently pegged at $ 1809.40.
Gold futures have recovered from the most recent decline. After trading at an intraday high of $ 1,815 last Friday, gold futures fell over two days to a low of $ 1,784.90 on Tuesday, December 21. Gold yesterday opened at $ 1,789 and recorded a moderate rally of $ 15.70, which took the price of gold to $ 1,804.80. Today, although gold traded at an intraday low of $ 1,800, gold recovered by gaining $ 7.30 and at 4:40 p.m. EST is currently pegged at $ 1,809.50. These gains came in the context of a low volume of vacations with only 110,408 contracts.
Recent gains in precious metals are significant and indicate high potential for them to continue to gain in value by the end of this year and especially into 2022.
Our technical studies indicate that currently gold futures have resistance at $ 1,815 based on recent intraday highs. Above that there is resistance at $ 1828 which is based on the 61.8% Fibonacci retracement. The data set used for this retracement set begins in June with gold at $ 1,920 and ends in the first week of August when gold hit its lowest value in the second half of that year at 1678. $. Our studies also indicate that major support for gold occurs at $ 1,770 an ounce, the 38.2% Fibonacci retracement.
This year has been difficult to say the least. The pandemic that began in March 2020 continues to affect people around the world. For those who have lived through trials or the loss of loved ones, our hearts and prayers are with you. That being said, we do wish you a happy holiday season, whether you are celebrating Christmas or Hanukkah.
To all of our followers and subscribers as this year draws to a close, we wish you the best in 2022, and as always good trading and good health.
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