Ø  April gold was higher overnight as it extends Thursday's breakout above the 20-day moving average, which confirmed that a low has been posted. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. If April extends this week's rally, the reaction high crossing at 1343.00 is the next upside target. Closes below the 10-day moving average crossing at 1299.50 would confirm that a top has been posted. First resistance is the reaction high crossing at 1343.00. Second resistance is March's high crossing at 1392.60. First support is the 10-day moving average crossing at 1299.50. Second support is the 62% retracement level of the January-March-rally crossing at 1262.50.

Ø  May silver was slightly higher overnight. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above the 20-day moving average crossing at 20.090 are needed to confirm that a short-term low has been posted while opening the door for additional short covering gains. If May renews the decline off February's high, the 87% retracement level of the January-February-rally crossing at 19.233 is the next downside target. First resistance is the 20-day moving average crossing at 20.090. Second resistance is the reaction high crossing at 21.795. First support is the 75% retracement level of the January-February-rally crossing at 19.647. Second support is the 87% retracement level of the January-February-rally crossing at 19.233.