Gold
- Gold (XAU/USD) initially held strong resistance at 2594/98 and dipped to 2580.
- In the afternoon we broke higher and I wrote:
- This is a buy signal for Gold too as we beat 2603.
Support at 2602/2598 now (although we are unlikely to see this level at this stage) and longs need stops below 2593.
Targets: 2521, 2531 - We have hit the first target as we look for 2531 and even 2643 is possible.
- Above here we could reach the 2652/56 area.
Silver
- Silver (XAG/USD) held minor resistance at 3080/3085 all morning but the break above 3090 in the afternoon was our buy signal as we completed the inverse head and shoulders pattern
- Targets: 3120, 3160/65.
- It looks like we could even reach 3190 eventually.
- Support at 3100/3080 and longs need stops below 3070.
WTI Crude December Future
Last session low and high for the December contract: 6661 - 6939.
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WTI Crude collapsed from resistance at 6880/6920 to both targets of 6850/6830 and the late October low at 6690/70 on Friday
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On Monday we shot higher to recover all the steep losses as WTI Crude remains locked in a sideways range.
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Note the bullish engulfing candle, although I do not trust the buy signal in the face of the lack of direction for this market and the longer term sideways consolidation.
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We beat minor resistance at 6775/6795 to hit the next target and strong resistance at 6880/6920.
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A break above 6950 today can target 6990, perhaps as far as 7040/70.
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If prices collapse yet again from the low $69 area look for 6870, perhaps as far as 6830/10.
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Further losses retest 6690/6660.
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If we continue lower, look for a retest of the 2024 low, set in September at 6545/25.