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Wednesday, November 12, 2008

UPDATES ON OCT 12 2008

OCT 12 WEDNESDAY

SHORT TERM TREND : BEARISH

LONG TERM TREND : BEARISH

S1 RS 16520 , S2 RS 16380

R1 RS 16880 , R2 RS 17060

SELL AT RESISTENCE.

December silver futures fell 41.5 cents, or 4.1%, to end

at $9.805 an ounce .

A recovery in faltering oil and industrial metals prices on

Monday had helped precious metals to climb, but the recovery

was short-lived as fears over the outlook for the global

economy resurfaced.

With confirmed evidence of a bleak economic outlook in the

Euro Zone and UK, traders and investors prefer to cling to the

U.S. dollar rather than other currencies.

Oil and industrial metals prices slipped, with U.S. crude futures

falling to below $59 a barrel as a slide in global stock markets

refocused attention on the prospect of a downturn.

The dollar, a key external driver of gold, was broadly

supported on Tuesday by weakness in equity prices,

which is prompting investors to seek out the US currency

as a haven from risk.

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