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Gold Recovers February’s Steep Losses in a V-Shaped Recovery

Published 03/21/2023, 05:34 AM
Updated 07/09/2023, 06:31 AM
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Gold higher again initially to reach 2009. There is a good chance that the gold rally just ended & we even have a potential head & shoulders on the 1 hour chart, with neck line at 1964/60.

Gold Chart

Silver beat resistance at 2210/20 for a buy signal, reaching 2271, not quite as far as very strong resistance at 2295/2305.

Crude Oil WTI Futures JUNE retested strong support again at 6550/6450. A low for the day exactly here.

WTI Chart

Today's Analysis

Gold recovers all of February's steep losses in a V-shaped recovery as we hit the next target of 1997/99 & just 3 points from 2012/14. However, Gold closed slightly down on the day after making the new high for 2023 & could be forming a negative short-term head & shoulders pattern. Yesterday we just held support at 1975/75.

Key support today at 1964/60.  Longs need stops below 1957. A break lower sees 1962/64 act as resistance targeting 1949/47, perhaps as far as support at 1934/30 for profit taking on shorts.

Minor resistance at 1990/94 but above here can retest 2007/2010. A break higher targets 2012/14, perhaps as far as 2027/29.

Silver beat resistance at 2210/20 & held 29 ticks from very strong resistance at 2295/2305. I am revising this resistance down to 2280/2300. Shorts need stops above 2315. A break higher is a buy signal initially targeting 2340/45.

Silver Chart

First support at 2245/35. Longs need stops below 2225. A break lower targets support at 2210/00. Longs need stops below 2190. A break lower is a sell signal targeting 2170/60. A break below 2150 targets 2130/25.

WTI Crude made a low for the day exactly at strong support again at 6550/6450, leaving a bullish hammer candle on the daily chart so I hope this is now the start of the WTI Crude recovery I have been predicting.

Crude Oil Chart

We should have strong support again at 6550/6450. Longs need stops below 6350. A break lower is a sell signal & can target 6200/6150.

Longs at strong support again at 6550/6450 saw a bounce to resistance at 6825/75 for the June contract. This is key to direction today. If you try a short, stop above 6900. A break higher is an important buy signal targeting 6990 & 7050/7100.

WTI Crude Daily Chart

Video Analysis:

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