Gold Trades Close to Recent Highs, Targets $1959.7 Feb 2 High

WTI futures remain vulnerable. Wednesday’s move lower resulted in the break of key support at $70.86, the Dec 9 low. The breach confirms a resumption of the medium-term downtrend and reinforces current bearish conditions. Note too that price has also cleared the psychological $70.00 handle. Attention is on $65.60, the Dec 3 2021 low. Initial resistance is at $72.56, Wednesday’s high. Gold remains bullish and the metal is trading at its recent highs. Resistance at $1858.3, the Mar 6 high, has recently been cleared and the latest rally signals scope for an extension towards $1959.7, the Feb 2 high and a key near-term resistance. On the downside, initial firm support is seen at $1854.6, the 50-day EMA. A break of this level is required to signal a top - this would expose the bear trigger at $1804.9, the Feb 28 low.

• WTI Crude up $0.56 or +0.82% at $68.78
• Natural Gas down $0.03 or -0.99% at $2.496
• Gold spot up $12.5 or +0.65% at $1931.68
• Copper up $7.75 or +2.01% at $393.95
• Silver up $0.17 or +0.77% at $21.8631
• Platinum up $12.3 or +1.26% at $988.05