Phillip Streible, Chief Market Strategist
[TRANSCRIPT]
Good morning, it’s Thursday, February 8th, about 6 a.m. Central Time. Over the precious metals are mixed after yesterday’s volatile session. You have April gold down $8 at 2043, March silver up 4 cents at 22.40, March copper unchanged at 373, April Platinum down $3 at 883. One thing to note here is that you do have Palladium at $881, down $18. That’s the first time I’ve seen it in multiple years that the price of Palladium has dropped below Platinum. Now, I looked at a little bit of information on that, and really it’s concerns about the auto sector and demand in Asia and also in Europe. That’s why we had that sell-off yesterday, perhaps they had some estimates that came out on some of the vehicle sales and things like that.
Now, if you look at the gold market, still consolidating, really hasn’t gone anywhere. We’ve had the World Gold Council, they showed that gold ETF Holdings have slumped for the 8th straight month. So, unless you get those ETF Holdings, it’s going to be really tough to get the bullish momentum going. Remember, I said that there were three main drivers to the gold market to get another massive rally underway, and it’s got to be that gold Futures really need to break through that like 2070 level, 2073 level, and then the FOMO chasers will come in, and they’ll start buying it aggressively. I think that too many participants right now are playing with other markets such as US equities, specifically the S&P 500 and the NASDAQ, and also back to the cryptocurrencies. As you look at Bitcoin, after its recent consolidation, is now starting to break out to the upside. The technical breakout on the Ethereum market would be a close over 2500. I think you’d have another wave of speculators coming to that market as well.
So, looking at the silver market, trading right around four-month lows right now, 2238 last on the charts. But what I always look at is the gold-silver RTI ratio, trading at 99:1, so a lot of pressure there, not a lot of action going on in the metals. It’s actually watching paint dry at the moment. The Dollar Index does have a small rebound, and we did have some ECB speaker come out earlier this morning, and perhaps was putting some pressure on the Euro currency and lifting that Dollar Index back just a touch higher here.
So, other things that we’re watching, crude oil future starting to push up just a touch. We’re lifting off of its recent lows. It does have some technical headwinds here as we run into some key moving averages at the moment. So, we’re going to want to just kind of keep an eye on all these different markets. We do have several things coming out, everything from initial claims, continuing claims, and then we’ll have two Fed speakers that are both FOMC voters coming out, 1 at 7:30 a.m., that’s going to be Richmond Fed President Barkin. He’ll be on Bloomberg, and then also you’ll have him come back out and talk again at about 11:05 this afternoon. So, pay attention to that Bloomberg interview. You got any questions, give me a call, 312-8581. Remember, Futures option trading does a all risk loss may not be suitable to all investors. Good luck, good trading.
Sign up below for a FREE trial of our daily commentary!
https://bluelinefutures.com/2023-signup/?utm_source=
📉Futures trading involves substantial risk of loss and may not be suitable for all investors. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. Trading advice is based on information taken from trade and statistical services and other sources Blue Line Futures, LLC believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder. Past performance is not necessarily indicative of future results.
📈Blue Line Futures is a member of NFA and is subject to NFA’s regulatory oversight and examinations. However, you should be aware that the NFA does not have regulatory oversight authority over underlying or spot virtual currency products or transactions or virtual currency exchanges, custodians or markets. Therefore, carefully consider whether such trading is suitable for you considering your financial condition.
With Cyber-attacks on the rise, attacking firms in the healthcare, financial, energy and other state and global sectors, Blue Line Futures wants you to be safe! Blue Line Futures will never contact you via a third party application. Blue Line Futures employees use only firm authorized email addresses and phone numbers. If you are contacted by any person and want to confirm identity please reach out to us at info@bluelinefutures.com or call us at 312- 278-0500
On the date of publication, Phillip Streible did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Disclosure Policy here.
Disclaimer: The copyright of this article belongs to the original author. Reposting this article is solely for the purpose of information dissemination and does not constitute any investment advice. If there is any infringement, please contact us immediately. We will make corrections or deletions as necessary. Thank you.
