commodities

Technical Analysis – Gold’s climb restricted by Bollinger band and 23.6% Fibonacci

Posted on February 10, 2020 at 9:42 am GMT

Gold’s gradual incline – after reversing ahead of the 1,546 low – appears to have stalled between the 50-period simple moving average (SMA) and the upper-Bollinger band residing at the 23.6% Fibonacci retracement of the up move from 1,458.42 to 1,611.28. The short-term oscillators reflect improving positive momentum. The MACD, above its red trigger line, has risen above the zero mark, while the RSI is increasing in the bullish territory. Moreover, all SMAs have kept their bullish picture intact. A [..]

Technical Analysis – Are palladium futures completing a bullish cycle?

Posted on February 6, 2020 at 10:41 am GMT

Palladium futures have been well supported by the 20-day simple moving average (SMA) recently, but the bulls seem to be struggling to overcome previous record high levels around 2,400, with the price registering a negative candle on Wednesday. The price continues to lose ground on Thursday, increasing speculation of a bearish double top pattern as the momentum indicators are shifting south; the RSI and the Stochastics topped near overbought levels and are turning lower, while the MACD seems to be [..]

Technical Analysis – WTI oil futures bounce on 1-year trough; outlook remains bearish

Posted on February 4, 2020 at 10:41 am GMT

WTI futures recorded a fresh one-year low of 49.64 earlier today before turning higher, approaching the descending trend line, which has been holding since January 8. Looking at the momentum oscillators on the 4-hour chart though, they suggest further increases may be on the cards in the short-term. The RSI has started to slope north again, while the stochastic oscillator is also heading up after it posted a bullish crossover within the %K and D% lines. Should oil breach the descending trendline, the next resistance could come the 52.00 handle and the 40-period SMA at 52.46. [..]

Technical Analysis – Gold remains optimistic despite receding to Ichimoku cloud

Posted on February 3, 2020 at 9:19 am GMT

Gold’s recent withdrawal from 1,594 is tackling the uptrend line, drawn from 20 December 2019, and the 1,575 level – near the Ichimoku cloud – which is the 23.6% Fibonacci retracement of the up leg from 1,458.42 to 1,611.28. Moreover, the flattening of the Ichimoku lines reflects a pause in the market. Although positive momentum has weakened, the improving picture looks to be intact, something also aided by the upward sloping simple moving averages (SMAs). The MACD is in the [..]

Technical Analysis – Copper strong sell-off towards 4-month low

Posted on January 30, 2020 at 9:39 am GMT

Copper with delivery in March 2020 is looking strongly bearish in the short-term after plunging below the eight-month high of 2.8825 on January 16. Prices hit a four-month low of 2.5115 and the technical indicators are all pointing to further negative momentum in the near term. The RSI is also in an oversold territory below 30 and is clearly pointing down, while the MACD is strengthening its bearish view below trigger and zero lines. Moreover, the 20- and 40-simple moving [..]

Technical Analysis – WTI futures remains bearish despite recent pullback

Posted on January 28, 2020 at 9:21 am GMT

WTI oil futures appears to be sustaining its very short-term bearish picture despite the oscillators currently reflecting an improvement in positive momentum. Further aiding the move south are the downward sloping 20-, 50- and 100-period simple moving averages (SMAs) and their bearish crossovers of the 200-period SMA. The MACD has climbed above its red trigger line deep in the negative zone, while the RSI, currently in the oversold territory, is flirting with the 30 level. Noteworthy though, is the restrictive [..]

Technical Analysis – Gold eyes tops as momentum picks up

Posted on January 27, 2020 at 9:45 am GMT

Gold today gapped up and seems to be taking a breather around the 1,575 level, which is the 23.6% Fibonacci retracement of the up leg from 1,458.42 to 1,611.28 after bouncing off the joined 50- and 100-period simple moving averages (SMAs). This view is also reflected in the Ichimoku lines, which are currently flat. The short-term oscillators suggest a pause in momentum but lean towards the positive picture. The MACD is rising above its red trigger line in the positive [..]

Technical Analysis – Palladium futures non-stop rally shows no sign of fading

Posted on January 23, 2020 at 10:00 am GMT

Palladium futures are staging an extraordinary rally over the past three weeks and technically, there is no convincing signal at the moment that the uptrend could soon hit a strong turning point. Even though the RSI and the Stochastics have bounced back into the overbought territory, increasing the odds for a downside correction, the MACD has yet to show signs of reversing at a time when the price is still trading comfortably above the Ichimoku cloud and its simple moving averages [..]

Technical Analysis – WTI futures may have more weakness in store in short term

Posted on January 22, 2020 at 1:19 pm GMT

WTI crude oil futures with delivery in March, are declining below the three-month ascending trend line, creating a bearish-to-neutral view. Momentum indicators are pointing to a negative bias in the short term with the RSI just below 50 and the stochastic oscillator is heading towards the bearish territory. The MACD oscillator is strengthening its downward movement below the trigger and zero line. In addition, the 40-day simple moving average (SMA) is pointing down and approaching the 20-SMA for a possible [..]

Technical Analysis – Gold bulls could stay in charge within January’s range

Posted on January 20, 2020 at 8:10 am GMT

Gold came under pressure following the peak at a 7-year high of 1,611 but the 1,535 level rejected the downside move, sending the price slightly up. The upside reversal in the RSI and the rebound in the Stochastics suggest that there is still some room for improvement in the short-term, though with the MACD having recently reached a peak and eased its momentum below the red signal line, the price could probably gain ground only within this month’s range. Heading higher, the price could [..]

Legal disclaimer: The material does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instruments. XM accepts no responsibility for any use that may be made of these comments and for any consequences resulting in it. No representation or warranty is given as to the accuracy or completeness of this information. Consequently, any person acting on it does so entirely at their own risk. The research and analysis does not involve any specific investment objectives, financial situation and needs of any specific person who may receive it.

It has not been prepared in accordance with legal requirements designed to promote the independence of research, and as such it is considered to be marketing communication. Although we are not specifically constrained from dealing ahead of the publication of our research, we do not seek to take advantage of it before we provide it to our clients. We aim to establish, maintain and operate effective organisational and administrative arrangements with a view to taking all reasonable steps to prevent conflicts of interest from constituting or giving rise to a material risk of damage to the interests of our clients. We operate a policy of independence, which requires our employees to act in our clients’ best interests and to disregard any conflicts of interest in providing our services.

CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losing all of your invested capital, so please make sure that you fully understand the risks involved.