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Price Signal Summary - WTI Futures Remain Below Monday's High

OUTLOOK
  • On the commodity front, the bear cycle in Gold remains intact. The yellow metal traded lower yesterday and has once again pierced trendline support drawn from Nov 3 2022. The trendline intersects at $1953.5. A clear breach of this line would reinforce bearish conditions and open $1903.5, 61.8% of the Feb 28 - May 4 bull cycle. Initial firm resistance is $1985.3, the May 24 high. Clearance of this level would signal a short-term reversal.
  • In the oil space, WTI futures traded higher Monday, piercing resistance at $74.73, the May 24 high. However, the contract failed to hold on to those gains. A clear break of $74.73 would strengthen a bullish condition and signal scope for an extension higher. This would open $76.74, the Apr 28 high. For bears, a stronger reversal would instead highlight a top and expose key support at $63.90, the May 4 low. First support to watch is $70.00, the Jun 2 low.

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