Breach of $1805 Confirms Gold Uptrend

Trend conditions in WTI futures remain bearish. Recent gains however, have highlighted a bullish corrective cycle and this has resulted in a test of the 20-day EMA, at $76.80 today. A clear break of this hurdle would signal scope for an extension and open $79.79, the 50-day EMA. On the downside, a stronger reversal lower would refocus attention on the bear trigger which lies at $70.31, the Dec 9 low. Trend conditions in Gold remain bullish and the recent move lower is considered corrective. Key short-term support to watch is $1765.9, Dec 5 low. The yellow metal breached $1810.0 last week, Dec 5 high, to resume the uptrend. This maintains the positive price sequence of higher highs and higher lows and opens $1842.7, a Fibonacci retracement. On the downside, a break of $1765.9 would signal scope for a deeper pullback.

• WTI Crude up $0.53 or +0.7% at $76.59
• Natural Gas up $0.21 or +3.89% at $5.531
• Gold spot down $3.87 or -0.21% at $1814.39
• Copper up $0.5 or +0.13% at $380.3
• Silver down $0.26 or -1.07% at $23.9073
• Platinum down $13.04 or -1.29% at $999.52