Iran rejects U.S. war proposal, says no talks before conditions met
Gold
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Gold (XAU/USD) remains trapped in a range as we edge slowly towards the apex of a triangle pattern which has been forming since April
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I have to sit and wait for a breakout now, which is likely to be to the upside, but I will wait for confirmation.
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The timing of the breakout is impossible to predict, and even the reaction is uncertain.
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We tested support at 3320/15 but overshot it slightly to 3310 before bouncing back to 3343.
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Key support at 3310/3300 today, and longs need stops below 3290.
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Targets: 3330, 3340 for profit taking before the weekend.
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However, a break below 3290 is a sell signal (with weekly close below 3290 for confirmation) targeting 3284/80 and even 3255/50 is possible into next week.
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A break above 3350 today can target resistance at 3370/75.
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Shorts require stops above 3380, and a break higher serves as a short-term buy signal, targeting 3395/99, potentially extending to resistance at 3405/3410.
Silver
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Silver (XAG/USD) gave us a second buying opportunity at support at 3770/3750 on Thursday, with a low of the day exactly here once again.
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It's now a low for the week, so it's been a good opportunity, and longs worked perfectly on the bounce to 3815 as we close in on my target at 3825/30 for some profit taking.
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In the bull trend, however, we could continue higher, and a break above 3840 suggests further gains towards 3860/65 and 3880/3885.
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Good support again at 3770/3750, and on a retest, longs need stops below the previous swing high at 3730.
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On a break below 3720, hopes for the bull market fade, and we risk a move to 3680, even as far as 3650/30.
