Free Trial

Trend Conditions in Gold Remain Bullish Despite Tuesday's Sharp Pullback

COMMODITIES

WTI futures traded lower Monday and in the process breached support at $78.45, the Jan 19 low. The move lower undermines the recent bull theme and a continuation would signal potential for an extension towards $72.74, the Jan 5 low. On the upside, the bull trigger has been defined at $82.66, the Jan 18 high. A break of this level is required to reinstate the recent bullish theme. Yesterday’s recovery from the day low is considered corrective. Trend conditions in Gold remain bullish and the latest pullback is considered corrective. Recent cycle highs confirm an extension of the uptrend and maintain the price sequence of higher highs and higher lows. Moving average studies remain in a bull mode position - reflecting the uptrend. The focus is on $1963.0 next, a Fibonacci retracement. Initial firm support to watch lies at $1902.2, the 20-day EMA. A break would signal scope for a deeper pullback.


  • WTI Crude up $0.32 or +0.41% at $79.62
  • Natural Gas up $0.04 or +1.56% at $2.729
  • Gold spot down $4.37 or -0.23% at $1926.4
  • Copper down $5.9 or -1.4% at $418.7
  • Silver down $0.28 or -1.19% at $23.504
  • Platinum down $7.22 or -0.71% at $1012.1

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.