HXPM Gold market reviews on 9 May, 2011: volatile gold recovered but the upside depends on the momentum

Daily Gold Review (2011.05.09): http://hx9999.com/en/trend_716.html

Market Reviews of the Pervious Day:
During NY session on 6 May, the dollar index further rebounded on the impressive non-agricultural employment data which retrieved market confidence.
Gold recovered on 6 May. While investors’ preference changed and the greenback strengthened, technical characteristics of trend were expected to extend and performance of the commodity would be fluctuated.
Key Economic Data and Events:
GMT+8 14:00 Germany Balance of Payments (Mar)
GMT+8 16:30 Euro Zone Euro Zone Sentix Investor Confidence (May)
Gold:
Gold opened at 1474.39 USD on 5 May, with intra-day Low at 1471.25 USD and intra-day High at 1498.32 USD, eventually closing at 1495.08 USD. Intra-day range of 17.07 USD was seen.
On Friday,the price of gold was holding on the support line of the uptrend from 28 Jan 2011 so continue with upside bias.
The nearest resistance should be 1500-1520 USD while downside momentums were limited at the level of 1467-1430 USD. The lower of wide range should be located at 1410-1400 USD.
After finishing the cycle of uptrend, a correction of over hundred US dollar occurred. The whole scale of correction should continue at least for a month even though long-term uptrend might remain.
At the moment sideway range trade strategy was recommended before all the lower supports were breached.
The moving pattern in the week would depend on the upside momentum upon the level of 1463 USD. Further lower supports would be tested or even breached if no verticle uptrend was seen at the level. Moving range should shift to 1460-1510 USD.
Trading suggestions:
Short-term investors should trade in small positions at about 1500 USD, buying on dip and selling on ]rally for volatile range trading.
Silver: volatile silver recovered but the upside depends on the momentum
Silver opened at 34.36 USD on 5 May, with intra-day Low at 33.27 USD and intra-
day High at 36.37 USD, eventually closing at 35.58 USD. Intra-day range of 3.10 USD was seen.
Silver slightly recovered on Friday. The uptrend beginning from 28 Jan 2011 might have finished and significant correction was coming.
Technically initial support was broken. A v-shape movement was seen since the reversal from 25 Apr and change in market sentiment was signified.
Lower support of silver should be located at about 33.60-33.22 USD. Momemtums of silver remained weak and the commodity was likely to test certain levels within the range gradually. The moving range of 33.60-31.22 USD was expected.
Trading suggestions:
The short position may be suggested to place a trailing stop or limit order to lock in the profit. Short-term investors can open positions at 36-38 USD in batches.