Commodities

As we had predicted earlier,most commodities went much lower on yesterdays trading as well as today as the US dollar continued to gather momentum.This was possible due to Bernanke remarks earlier in the week that suggested some possibility of QE3 according to some analysts. However Gold went as was expected and is now held by the 50% fib level from the beginning of the year to the highs in end February.

Silver also followed suit being closely co related to gold.It is also being held at the 50% fib level as you can see in the chart below. A break below this line will first see support at 31.50 before further collapse should the US dollar continue to strengthen

I will constantly continue to look for this moves and update them on the blog.I had a good opportunity entering the Gbp/Jpy on the 4hr chart earlier on Tuesday at around 8pm and made some pips.I came out too early though as you can check it is still plummeting.
Good luck trading out there.

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