Gold
- Gold (XAU/USD) has held a $20 range for 3 days as we trade back and forth over the same prices in the 3-month sideways consolidation, from 2318 up to 2339.
- Scalping resistance at 2335/40 keeps working and we saw a high for the day exactly here yet again yesterday.
- Yesterday the shorts offered up to 15 points profit again, so we cannot complain about making up to 15 points a day in such difficult conditions.
Very minor support at 2320/18 has held the downside for 3 days, so watch to see if we bounce from here again today. - A break above 2342 could trigger further gains towards 2355.
- A break below 2316 can target the lower end of the range at 2397/94.
If you try a long here again today, stop below 2290 for a retest of the June low at 2286.
Targets for the bounce: 2305, 2315. - A break below 2283 however is a sell signal targeting 2278/76 and probably as far as support at 2255/50 for profit taking on shorts.
Silver
- Silver (XAG/USD) tried a break above resistance at 2945/55 with a high for the day at 2382 and shorts need stops above 2975 so this was tricky. But prices collapsed very quickly, back towards 2955.
- I think we are forming a bull flag, meaning eventually we will break higher for a buy signal.
- I would suggest that we need a break above 3015 for that buy signal. In the meantime, we are likely to chop up and down in a narrow range, like Gold.
WTI Crude August Futures
Last session low and high for the AUGUST contract: 8272 - 8438.
(To compare the spread with the contract that you trade).
- WTI Crude August made a break above 8290 for the next buy signal targeting 8350.
- Yes, we wrote: further gains are expected into the end of the week with the next target at 8390/8400 and a break above 8425 taking prices as far as the 8490/8520 area.
- So far we have reached 8438.
A low for the day only 2 ticks above minor support at 8270/60 which could hold the downside again today, but the best buying opportunity should be at 8200/8180 and longs need stops below 8130.