Gold Prices Pushing Higher

Gold prices have finally managed to shoot higher after shaking off all the selling that we had seen in the 1265 region. After consolidating near that region over a few days last week, the gold prices have since moved higher and they trade near the 1280 region as of this writing. There has not been any major economic or fundamental reason for this move and in fact, we believe that this move could be a false one due to the fact that it has come along at a time when the market is in a holiday mode and is likely that the move might be reversed when the market returns to full strength over the next couple of weeks. But it remains to be seen how far the gold prices are expected to go during this period and this is why it is important for the traders to be watchful during this period.

Gold Prices Near the 1280 region

Not much can be read into the moves in the market during the holiday period such as this but at the same time, it is indeed a surprise that the gold prices have been moving strongly higher during this period. It has exhibited a lot of weakness over the last couple of months or so but all of the move downwards has now been more or less corrected over the last week or so and this should give a lot of heart for the gold bulls. But what traders should be watching out for is the fact whether the prices would hold when the market returns to normal liquidity and volatility.

Oil prices continue to consolidate and range above the $58 region over the last couple of days and this kind of ranging is expected to continue in the short term, atleast until the year is out.

Silver prices have also been able to keep themselves free from the $16 region and move higher and now we see the silver prices trading near the $16.5 region as of this writing and looking to go even higher.