22 Jul 2013
Precious metals trading at intraday highs, crude correction looms
FXstreet.com (New York) - Precious metals surged higher Monday following an overnight resurgence.
Gold extends bullishness
Gold prices shot up overnight, continuing to trade to the upside, which reached the targeted area of 1320.00 (resistance). The price may extend the bullish correction, however the yellow metal faces the 50-day SMA and a horizontal resistance around 1338.00 as well, where the price may see renewed downside pressure from that key area. A breakout above that resistance at 1338.00 will signal a potential upside reversal. At the time of writing, gold prices are trading at USD $1327.20 per oz. Monday.
Silver bearishness still plausible
Despite the bullish bounce, silver remains technically weak, though the price moves above the 20.10-20.30 key horizontal resistance area recently. Accordingly, the bearish trend remains in play, where only a prolonged break above 20.20 may start to damage the bearish configuration. The price of silver has now moved to USD $20.39 per oz. during US trading.
WTI correction on horizon
WTI crude touched 109.25 on Friday, but was rejected strongly, as the price fluctuated sharply. A bearish divergence is seen on RSI, while price found resistance at the 161.8 percent extension level, which is near 110.00 key psychological level as well. Accordingly, a downside correction is likely this week – in these moments, WTI crude oil is negotiating a price of USD $109.63/bbl Monday.
Gold extends bullishness
Gold prices shot up overnight, continuing to trade to the upside, which reached the targeted area of 1320.00 (resistance). The price may extend the bullish correction, however the yellow metal faces the 50-day SMA and a horizontal resistance around 1338.00 as well, where the price may see renewed downside pressure from that key area. A breakout above that resistance at 1338.00 will signal a potential upside reversal. At the time of writing, gold prices are trading at USD $1327.20 per oz. Monday.
Silver bearishness still plausible
Despite the bullish bounce, silver remains technically weak, though the price moves above the 20.10-20.30 key horizontal resistance area recently. Accordingly, the bearish trend remains in play, where only a prolonged break above 20.20 may start to damage the bearish configuration. The price of silver has now moved to USD $20.39 per oz. during US trading.
WTI correction on horizon
WTI crude touched 109.25 on Friday, but was rejected strongly, as the price fluctuated sharply. A bearish divergence is seen on RSI, while price found resistance at the 161.8 percent extension level, which is near 110.00 key psychological level as well. Accordingly, a downside correction is likely this week – in these moments, WTI crude oil is negotiating a price of USD $109.63/bbl Monday.