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Gold’s weekly outlook: May 25-29Gold relatively had a small actual movement compared to the week’s range which saw the metal create a fresh 52-week high amidst growing uncertainties, increased geopolitical tensions and the dominant coronavirus pandemic. With the world fighting its way out from the lockdown, last week’s news flow regarding China’s policies further worsened the already mistuned ties with the U.S igniting fears of a probable cold war between the 2 super powers. The only positive news around the globe is the race for creation of the vaccine but again there might be no such absolute cure/prevention since most viruses do not have a vaccine. Amidst all these, natural disasters too haven’t spared the world with countries facing different types of them adding to the overgrown list of problems. This certainly cooks up a perfect recipe for relentless mayhem which if not anything points towards the end of the days though this is a bit far thought of scenario. Gold remains the best asset class amongst all as it is technically and fundamentally more stronger the ever. To watch this week – Important economic data. On the chart – Gold after hitting new 52 week high went into consolidation where it successfully retested the breakout and finally ended fairly higher above the support area though with negative returns for the week. This retest further adds to the bull case making the yellow metal technically even stronger while preparing it for an unopposed run on the upside. We have 2 scenarios – 1. Gold closed above the support, till this is held it can go to $1740. If this is crossed it can move towards $1755. And if this is taken out it can rally to $1771. 2. Short trades still doesn’t entice as trend remains bullish except scalp trades. Bullish view – Bulls relaxed a bit after attaining a new 52 week high as the price retraced from the highs and tested the breakout in which they were successful as the closing went in their favor. With the pandemic still hurting the economies severely, fresh geopolitical uncertainties and tensions have added another dark cloud over the world having dire consequences which should cement an extended run for gold above $1800. Technically, the retest has already provided the direction for the metal while fundamentals again keep getting firmer only as disruptions across the globe does not look to stop. Bearish bets still remain non-productive. On larger terms, Gold continues to remain bullish and prices are expected to head higher. Possible trades are on both sides but mainly on upside, gold can be bought above $1741 for the targets of $1755 and $1771 with a stop loss placed below $1733. Longer term target $1789. Dips towards support (and breakout region) can be used to create longs for the above mentioned targets. Shorts can be useful for scalp trades only.
TVC:GOLDLong
by vanimator
Oil To APEX After breaking out of price consolidation (yellow rectangle) it’s crucial that the bulls keep oil above this price point and move to the apex depicted in the chart. A break of the inner upward Trend line will see oil back into the consolidation point so its imperative that the Bulls keep at these levels or above. A Rise to 32 (R1) will see some bears to contend with. This P action will show strength and solidify the second point to maybe see a parallel channel upward form/ing. 📈Support & Resistance📉* Support Levels 1st Support Zone: 23.41 2nd Support Zone: 17.80 3rd Support Zone: 12.94 Resistance Levels: 1st Resistance Zone: 28.71 2nd Resistance Zone: 37.62 3rd Resistance Zone: 42.11 Price Level Consideration ATH: 147.27 All Time High Half Way Point: 73.64 Prominent High: 65.53 Prominent Low: ZERO 🐃 Bulls Verse Bears 🐻 🐃 Bullish above: 77.04 🐻 Bearish below: BEARISH at the moment Monthly & Weekly Opens Monthly Open:18.86 Weekly Open: 29.78
TVC:USOIL
by LandenInternational
Gold’s weekly outlook: May 18-22Gold resumed its uptrend as it finally broke out from the consolidation making a fresh 52 week high while having a new (weekly) closing high as well. This move was on expected lines which further empowers the metal for a sustained run as renewed trade tensions and the pandemic continues to haunt with virus showing no signs of retreating rather some countries could be experiencing the 2nd wave of infections which would definitely pose as an immense support to the prices in days ahead. As more and more countries are reopening their economies, chances of 2nd wave becomes high which may be deadlier than the first one as seen during the Spanish Flu outbreak in 1918 which should lead the yellow metal even higher. To watch next week – FOMC meeting minutes and other important economic data. On the chart – Gold had a rise of $39 after 2 weeks of consolidation owing to poor economic data due to the pandemic’s impact on the economy. The closing at new high suggests prolonged bullish run as the older high should now act as a support. Fundamentals and technicals both now come at par on terms of strength that is strong since the bullish breakout. We have 2 scenarios – 1. Gold closed above the support, till this is held it can go to $1755. If this is crossed it can move towards $1771. And if this is taken out it can rally to $1789. 2. Short trades still remain colorless as trend remains overly bullish except scalp trades. Bullish view – Bulls had a good week after 14 days of consolidation as they notched up a fresh 52 week high and had a closing at another. The bullish bias seems to grow only as re-opened economies are facing a threat of 2nd wave of infections which may force them to take measures again which will hamper the economic activities making gold the better investment amongst all asset class. With the bullish breakout it does open a fresh leg on the upside which should take the metal above $1800 soon. Bearish bets still offer no value. On larger terms, Gold remains bullish and prices are expected to head higher. Possible trades are on both sides but mainly on upside, gold can be bought above $1752 for the targets of $1755 and $1771 with a stop loss placed below $1739. Longer term target $1789. Dips towards support (and breakout region) can be used to create longs for the above mentioned targets. Shorts can be useful for scalp trades only.
TVC:GOLDLong
by vanimator
XAG Showing Promise Into New Week Of Silver TradingSilver Overview Silver broke north as depicted in my previous silver post to close for the week at the 16.6 level which sees the major swing low. A level reflected before the drop a lot of markets encountered in March 2020. This is to be acknowledged, as the Bulls need to contend with these prior price points. The bears will be defensive preventing the bulls to execute freely for more northerly P action. Area of Interest Support Zone 1 may come into play at market open on Monday and price action on the lower timeframes may slither along the trend line depicted on the daily charts. If the Bulls open at current levels and push higher closing positive on the daily then XAG will position itself well to potentially rise to $17 -17.5. P action will be contenting with the prior price points from Aug 2019 in that case. A break of support 1 may see the bears drive the price back to support zone 2 above the prior consolidation that started since the April. (See Below Support & Resistance zones for more info) Overall Silver has had a strong week and lets see if it can continue the run and momentum to the upside this week. 📈Support & Resistance📉* Support Levels 1st Support Zone: 16.48079 2nd Support Zone: 15.85826 3rd Support Zone: 15.54766 Resistance Levels: 1st Resistance Zone: 16.83701 2nd Resistance Zone: 17.20388 3rd Resistance Zone: 17.48440 Price Level Consideration All Time High Half Way Point: 960.480 Prominent High: 18.94754 Prominent Low: 11.60858 🐃 Bulls Verse Bears 🐻 🐃 Bullish above: 17.63366 🐻 Bearish below: BEARISH at the moment Monthly & Weekly Opens Monthly Open: 14.96137 Weekly Open: 15.46634 (Monday open will change this)
OANDA:XAGUSD
by LandenInternational
Gold’s weekly outlook: May 11-15Gold had a flat week with very little actual gains as it still remained in consolidation after a mammoth rally. With countries under immense pressure to re-open economic activities along with linear growing infections globally, it certainly invites a cloud of uncertainty about the future as in weekend South Korea and China reported fresh cases, second wave of infections after having re-opened most of the activities forcing them to undertake preventive measures again. Coming to the big news regarding a possible restart of the trade war between U.S and China could again derail both the economies which caused a rally in the yellow metal though it failed to sustain the gains but helped enough to have a closing above $1700 again. It looks like the situations are not wanting to improve with new tensions flaring up as the world continues to reel under the pressure of the pandemic. All the above points direct towards a sustained bull run which may not have a weak point anytime soon. To watch this week – Inflation and other important economic data. On the chart – Gold had a green week though a very small one but noticeably important as it reclaimed $1700 after taking support at lower levels indicating another near term base formation. Fundamentals remain the stronger point with key issues resurfacing which is adding to the uncertainty while technically gold remains in a triangle consolidation which should likely break on the upside if not already. We have 2 scenarios – 1. Gold closed above the support, till this is held it can go to $1716. If this is crossed it can move towards $1727. And if this is taken out it can rally to $1740. 2. Short trades remain uninteresting as the bullish trend remains intact except scalp trades. Bullish view – Bulls had a nice outing but ended up with very little actual gains, still they added to the accomplishments by reconquering the $1700. The move was majorly due to the increased geopolitical tensions amidst the virus chaos caused by possible re-ignition of the trade war between U.S and China. The only factor which may hurt the bulls is the re-opening of the economies globally but again with fresh virus infections not showing declining signs it will moreover add to the uncertainty rather then cooling off. The fundamentals are only getting stronger by week on week basis while the technicals still bullish have entered into a time consolidation. For bulls to keep moving higher smoothly, they need to break the consolidation on the upside and aim for new highs. Bearishness remains off the table unless the pattern/trend changes otherwise. On larger terms, Gold continues to remain bullish and prices are expected to head higher. Possible trades are on both sides but mainly on upside, gold can be bought above $1705 for the targets of $1716 and $1727 with a stop loss placed below $1685. Longer term target $1740. Dips towards support (and breakout region) can be used to create longs for the above mentioned targets. Shorts can be useful for scalp trades only.
TVC:GOLDLong
by vanimator
Gold’s weekly outlook: May 04-08Gold had a red bar after a gap of 3 weeks mainly on account of retracement as there seems no cause for the yellow metal to show any weakness in this unfortunate time which is daily drying up population worldwide. With the economies shut all around and most of the Governments providing stimulus (The main focus being the Fed with unlimited QE) the demand for gold keeps on increasing as the central banks keep on printing money. Only drawback which may hurt the prices to some extent is the phased reopening which many countries are now trying but situation wont improve soon keeping this negativity in check. To watch next week – BOE meeting and other important economic data. On the chart – Gold had a mild correction after a monstrous $250 rally mostly on hopes of economies reopening and restarting activities. With the virus still showing no signs of retreating, its very difficult for the world to get in order which should keep the prices bullish. Fundamentals and technicals both strongly support the bullishness and currently its hard to find a chink in the armor of gold bulls. We have 2 scenarios – 1. Gold closed above the support, till this is held it can go to $1716. If this is crossed it can move towards $1727. And if this is taken out it can rally to $1740. 2. Short trades remain highly unattractive in this bullish environment except scalp trades. Bullish view – Bulls took a breather after having a $250 plus rally but the closing remains supportive for further uptrend as both technical and fundamentals stay in favor of them. For bulls to remain in the driving seat they need to protect the lows while aiming for fresh highs which will keep 1800 plus in closer sight. Bearish bets still remain out of context. On larger terms, Gold remains bullish and prices are expected to head higher. Possible trades are on both sides but mainly on upside, gold can be bought above $1704 for the targets of $1716 and $1727 with a stop loss placed below $1685. Longer term target $1740. Dips towards support (and breakout region) can be used to create longs for the above mentioned targets. Shorts can be useful for scalp trades only.
TVC:GOLDLong
by vanimator
4
Why gold’s little sister is becoming more attractiveWhen the Fed cut interest rates – it was GREAT for Silver! On Sunday, 15 March 2020, the Federal Reserve finally cut the interest rates to zero percent… They also announced they would purchase $700 billion in bonds and securities to try and stabilise the financial markets amidst the COVID-19 era… Now when the Fed decides to cut interest rates, this makes it more attractive for traders and investors to pile their money into precious metals like silver and gold… This is because lower interest rates mean, there’ll be lower returns for investors from savings, banks and even trust funds. Instead, investors tend to withdraw their money from low yielding assets, and deposit it into more rewarding financial markets. This means, they’ll more likely invest in safe havens such as gold, silver and even crypto-currencies, which will drive the prices up… Now going back to why I’m telling you this now… At the time the silver price was trading at under $13 an ounce… And as soon as the Fed cut the interest rates, I wrote in my excel note book. “15 March 2020 - The US has just slashed their interest rates to zero. This means we can expect a rally in gold and silver in the next month or two…” One month later, the silver price went above $15.00 an ounce. I know you might think that the rally has happened and that now I’ve missed out on the opportunity... But if you’ve been following my predictions for the last decade you’ll know this… I never just jump in and pile money into precious metals as soon as an announcement comes out. Instead, I wait for confirmed upside according to my charts, before I get in and ride the rest of the rally when it comes. In fact, it looks like this 15% rise is just the start, and I now expect silver to run another 22% in the next few weeks as investors pile into the metal… Silver will rally because of investors In the real economy, silver is mainly used in two main industries: jewellery and industrial (electronics, solar panels etc…) And this year, we’ve seen a huge collapse in consumption as jewellery stores remain closed and mines remain inactive… With the global slowdown from the COVID-19 pandemic, leading to a drop in industrial silver demand, this most likely will lead to the silver price falling from $18.80 in January down to $12.29 in March… However, since the interest rates have been cut – there’s been an increase in buying of silver futures and ETFs... In fact, according to the latest research from the Silver Institute, investment demand will drive prices higher in 2020… Even Commerzbank said retail investors, rather than institutional ones, tend to buy silver and silver ETFs. “So from this side, there should not be much selling pressure on silver,” They also mentioned: “The silver market is small so it doesn’t take a lot of money to really push prices higher,” And so with silver acting as a precious metal and a safe-haven once again for investors, the charts agree with the upside to come… Regards Timon Rossolimos Founder, MATI Trader
TVC:SILVERLong
by Timonrosso
SILVER - new impulse wave downAs we predicted in the post of April 16, Silver is developing its downtrend path to newer lows. Minute wave ii has retraced 50% of minute wave i, which can signalise the end of the counter-trend move or just very near for this. The next move will be minute wave iii from Minor wave 3 and because of this we may see good strength down soon. The first stop before continueing down should be at around the most probable target at 13.58. If prices crosse sup 15.51 we may revise this analysis. FOLLOW SKYLINEPRO TO GET UPDATES.
TVC:SILVERShort
by SkylinePro