Fxequity

Weekly Technical Outlook: Gold Triangle & Crude Oil Correction


Who’s up for a commodity particular?

I’m seeing this potential help space for gold and crude oil, plus a possible long-term reversal on AUD/USD.

Gold (XAU/USD): Every day

XAU/USD Daily Chart
XAU/USD Every day Chart

The valuable steel nonetheless appears to be caught in consolidation, as value bounced off the highest of a symmetrical triangle pattern on the every day timeframe.

A take a look at of help on the $1,700 per troy ounce degree would possibly observe, and Stochastic is suggesting that gold bugs are about to come back out.

The oscillator is dipping into the oversold area to mirror exhaustion amongst sellers, so turning larger would verify that help is prone to maintain.

Moving averages are merely oscillating and aren’t offering very robust clues in the meanwhile, although.

WTI Crude Oil: Every day

WTI Crude Oil: Daily Chart
WTI Crude Oil: Every day Chart

How low can crude oil go?

The commodity value has been sliding not too long ago, but it surely seems to be like consumers might be hanging out on the long-term space of curiosity seen on the every day chart.

A rising pattern line connects the lows because the begin of the yr, and this help zone occurs to coincide with the Fibs and former resistance round $70-75 per barrel.

Particularly, the 61.8% degree is true smack in step with the pattern line and 100 SMA dynamic inflection level. This shifting common is above the slower-moving 200 SMA to point that the uptrend is extra prone to resume than to reverse.

Stochastic additionally seems to be prepared to tug larger, reflecting a return in bullish strain. In that case, crude oil might bounce off help and make its means again as much as the swing excessive.

AUD/USD: Every day

AUD/USD Daily Forex Chart
AUD/USD Every day Foreign exchange Chart

If you happen to’re bearish on commodities today, then this foreign exchange setup is likely to be price maintaining in your watch listing!

AUD/USD is forming a head and shoulders pattern on its every day timeframe, and a break under the neckline on the .7000 deal with might verify {that a} selloff is due.

If that occurs, the pair might slide by the identical top because the chart formation, which spans round a thousand pips!

The bearish moving average crossover means that sellers have the higher hand, however Stochastic is reflecting exhaustion amongst Aussie bears.



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