Gold Trades Above $1800 Handle

Trend conditions in WTI futures remain bearish. Recent gains however, have highlighted a bullish corrective cycle and last week this resulted in a test of the 20-day EMA, at $76.89 today. A clear break of this hurdle would signal scope for an extension and open $80.35, the 50-day EMA. On the downside, a stronger reversal lower would refocus attention on the bear trigger which lies at $70.08, the Dec 9 low. Trend conditions in Gold remain bullish despite last Thursday’s sell-off. Pullbacks are considered corrective and key S/T 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 down $0.35 or -0.47% at $74.84
• Natural Gas down $0.17 or -2.91% at $5.681
• Gold spot up $14.65 or +0.82% at $1802.34
• Copper up $0.85 or +0.22% at $379.05
• Silver up $0.63 or +2.72% at $23.6171
• Platinum up $12.38 or +1.26% at $996.27