OUT LOOK

February gold closed higher on Wednesday as it extends this week's rally above the 20-day moving average crossing at 806.80.
The high-range close sets the stage for a steady to higher opening on Thursday. Stochastics and the RSI remain bullish signaling
that sideways to higher prices are possible near-term. If February extends this week's rally, the reaction high crossing at 844.20
is the next upside target. Closes below November's low crossing at 780.40 would renew the decline off last month's high while
opening the door for a larger-degree decline into the end of the year. First resistance is today's high crossing at 822.80 then the
reaction high crossing at 844.20. First support is last Thursday's low crossing at 790.90 then last Monday's low crossing at
783.00.

March silver closed slightly lower on Wednesday as it consolidated some of Tuesday's rally but remains above the 20-day
moving average crossing at 14.618. The high-range close sets the stage for a steady to higher opening on Thursday. Stochastics
and the RSI remain bullish signaling that sideways to higher prices are possible near-term. If March extends this month's rally,
the reaction high crossing at 15.220 is the next upside target. First resistance is Tuesday's high crossing at 14.975 then the
reaction high crossing at 15.220. First support is Monday's low crossing at 14.500 then last Thursday's low crossing at 14.125.

January crude oil closed sharply higher on Wednesday and above the 20-day moving average crossing at 92.43 confirming that
a short-term low has been posted. The high-range close sets the stage for a steady to higher opening on Thursday. Stochastics
and the RSI have turned bullish signaling that sideways to higher prices are possible near-term. If January extends this week's
rally, the reaction high crossing at .9768 is the next upside target. A close below last week's low crossing at .8582 would renew
the decline off November's high. First resistance is today's high crossing at 947.24. Second resistance is the reaction high
crossing at 97.68. First support is the 20-day moving average crossing at 92.44 then the 10-day moving average crossing at
.8954.

January Henry natural gas closed higher on Wednesday and above the 10-day moving average crossing at 7.231 signaling that a
short-term low has been posted. The high-range close sets the stage for a steady to higher opening on Thursday. Stochastics and
the RSI are turning bullish signaling that sideways to higher prices are possible near-term. Closes above the 20-day moving
average crossing at 7.587 are needed to confirm that a short-term low has been posted. If January extends the decline off
November's high, weekly support crossing at 6.801 is the next downside target. First resistance is today's high crossing at
7.416 then the 20-day moving average crossing at 7.587. First support is Monday's low crossing at 6.950 then weekly support
crossing at 6.801.

GENERAL MARKET CONDITIONS

The expected surprise came a day after as the Fed, European Central Bank, Bank of England, Bank of Canada, and Swiss National Bank all released plans to provide extra liquidity to money markets, auctioning off loans with comparatively low interest rates to ease tension in global money markets. This is an acknowledgement that their economies are in tatter. Base metals and equities will benefit more out this move than precious metals and energies. Base metals have taken the maximum thrash due to year-end liquidity pressures and they should benefit most. The fall in base metals over the past two months suggests the quantum of speculative interest. Retail investors should learn a thing or two from the slide in base metals.

Nothing new to comment on precious metals and base metals as they are expected to remain firm on the back of a weaker US dollar and higher crude oil prices. Technical charts in precious metals and energies are yet to show bearish divergence. Higher gold prices will not result in lower demand.

GOLD -- FEBRURAY FUTURE

As long as gold holds $807-$809 it will target $825 and $838. Only a consolidated fall below $807 will result in $802 and $790.70.

SILVER -- MARCH FUTURE

Silver has to close over $1376 today to target $1512 and $1554. On the lower side as long as $1446 holds, downside will be limited.