Gold broke below its major support level at $1,238 today in reaction to the Federal Reserve Chairman Jerome Powell’s testimony to the Senate Banking Committee. Gold futures (August Comex contract) closed dramatically lower settling at $1,227.50, losing $12.20, a net decline of almost a full percentage point.

U.S dollar weakness has not helped gold close in the positive today. Traders took the dollar index lower today, resulting in a net decline of just over a quarter percent. The dollar is currently fixed at 94.24, which is a decline of 25 points on the day.

Even with the U.S. dollar trading off of the highs achieved today, and posting a daily decline, gold was unable to sustain any price gains. August Comex futures are currently trading at $1,241.60, which is a net decline of five dollars on the day (-0.40%).

Today’s selling continued to day’s trading resulting in a strong draw down in both gold and silver with futures gold closing down $13.50 currently fixed at $1242 an ounce. At the same time spot gold gave up $14 in trading today and is currently fixed at 1241 32.

After an unsuccessful attempt yesterday to break above the current resistance level, gold returns to trading under pressure. Today’s market activity resulted in gold futures declining by approximately $3.20, which is a quarter percent decline. Gold futures are currently fixed at $1,256.40.

Gold futures gained $2.60 in trading today and is currently fixed at $1,258.40. Gold traded to the highest level in the last eight days when, on an intraday basis, it traded to $1,266.90.

Gold gained value on Tuesday and Thursday (trading was closed in observance of the Fourth of July on Wednesday), the first occurrence of two consecutive up trading days, in which gold closed above its opening price and resulted in a moderate price increase, since June 14.

Following the Fourth of July holiday, gold futures opened at $1,253.50 and traded higher, reaching $1,257.80 as of 4:45 PM Eastern standard time. Today’s price gains were a combination of a weakening U.S. dollar along with traders bidding up the precious yellow metal.

TRADE ALERT: Cover Short August Gold, and remove stop when markets reopen following the holiday. 

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Dear Subscriber,

I am pleased and elated to announce that we have moved to an upgraded studio and production facility. It is for that reason that today we will not be releasing a standard video report. We should have the production facility and recording studio completed by tomorrow. We will do a shortened video report then, or even possibly later on today.