WTI Futures Target 78.34 50-Day EMA to Ease Bearish Pressure

A sharp sell-off last Friday in WTI futures reinforced bearish conditions. The move lower Monday resulted in a print below $72.74, the Jan 5 low and a key support. A clear break of it would strengthen the bearish theme and expose $70.56, Dec 9 low and a bear trigger. Prices have recovered this week but gains are considered corrective. Initial firm resistance to watch is at $78.34, the 50-day EMA. A break would ease bearish pressure. Trend conditions in Gold are bearish for now, and the yellow metal remains in a corrective cycle. This follows the strong sell-off on Thursday and Friday last week and sights are on the 50-day EMA, at $1854.4. This average represents a key support and if breached, would strengthen a bearish case and suggest scope for a deeper pullback. On the upside, key resistance and the bull trigger, has been defined at $1959.7, the Feb 2 high.

• WTI Crude up $1.15 or +1.49% at $78.29
• Natural Gas up $0.04 or +1.39% at $2.621
• Gold spot up $11.05 or +0.59% at $1884.73
• Copper up $2.55 or +0.62% at $410.6
• Silver up $0.32 or +1.46% at $22.502
• Platinum up $11.58 or +1.18% at $990.46