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Gold Makes Another High But Bulls Need to Clear $1895

Published 01/12/2023, 03:51 AM
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Gold reached the resistance at 1878/88 with a high for the week exactly here. There is no sell signal yet, but today's direction will obviously be driven by the US CPI number, with 6.4% expected. The levels for today are apparent on the 4-hour chart.Gold Chart

Silver is in a 1-month erratic sideways trend. This is probably a consolidation after three months of gains, but I must wait for a clear breakout.

WTI Crude February is in a 7-month bear trend but may be establishing a short-term sideways consolidation. So far, we are holding a range from $73 to $81.

Today's Analysis

Gold again made a high for the day exactly at resistance at 1878/88. Bulls need to clear 1895 for a buy signal targeting 1905 and 1915, perhaps as far as 1925.

Minor support is at 1872/70 this morning; better support is at 1863/60. A break below 1857, however, risks a slide to 1855 and strong support at 1849/45. Longs need stops below 1840.

Silver is stuck in a range from 255 up to 2455 for four weeks. Today we meet a buying opportunity at 2305/2295. Longs need stops below 2280. Targets are 2330 and 2360.

Minor resistance at 2360/70 but above 2380 can target 2410, perhaps as far as 2430/40. Minor resistance at this week's high of 2450/55, so a break above 2460 should be a buy signal.

WTI Crude February beat strong resistance at 7550/7600 at the end of the day to target 7800/20, and even 7900/30 is possible. Further gains meet resistance at the upper trend line of the 6-week range at 8100.

Minor support is at 7600/7580, but below 7540; it can target 7470/50 and perhaps go as far as 7400.

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