We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • Understanding the US-Mexico relationship and how the ebb and flow of economic activity in the former impacts the latter is crucial for trading USD/MXN. Get your $USDMXN market update from @ZabelinDimitri and @FxWestwater here:https://t.co/oCRV13zbF0 https://t.co/gSzGAUJx4F
  • RT @FxWestwater: S&P 500 Rallies as Key Insiders Dump Stock, Traders Add Shorts - @DailyFX $SPX $SPY https://www.dailyfx.com/forex/fundamental/article/special_report/2020/07/02/SP-500-Rallies-as-Key-Insiders-Dump-Stock-Traders-Add-Shorts.html https://t…
  • The Dow Jones may rise based on signals from trader positioning, placing the focus on resistance ahead. This is as the S&P 500 pressures a key falling trend line, will it hold? Find out from @ddubrovskyFX here:https://t.co/UvXqX50YIp https://t.co/rr2s58Zyls
  • Hey traders! Get your market highlights from @DailyFX Chief Strategist @JohnKicklighter. What are some charts and themes we are wrapping up with today? Find out 👇 https://t.co/HOGohRF7tD
  • Texas virus cases increase 4.7% vs prior 4.2% 7-day average - BBG
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.51% 🇨🇦CAD: 0.17% 🇦🇺AUD: 0.16% 🇯🇵JPY: -0.03% 🇬🇧GBP: -0.05% 🇪🇺EUR: -0.11% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/9dkCjQChjR
  • Commodities Update: As of 20:00, these are your best and worst performers based on the London trading schedule: Gold: 0.32% Silver: -0.26% Oil - US Crude: -0.74% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/WNWW8VibD8
  • Texas Governor mandates face masks in public by executive order
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.35%, while traders in Germany 30 are at opposite extremes with 71.50%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/BbKn9Fy1J4
  • Indices Update: As of 20:00, these are your best and worst performers based on the London trading schedule: Wall Street: -0.01% US 500: -0.01% FTSE 100: -0.07% Germany 30: -0.33% France 40: -0.40% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/t3i9BGnGv3
Crude Oil, Gold May Recover on US Recovery Hopes

Crude Oil, Gold May Recover on US Recovery Hopes

2013-03-11 10:43:00
Ilya Spivak, Head Strategist, APAC
Share:

Crude oil and gold may rise on improving risk appetite and swelling inflation expectations amid optimism about the resilience of the US economic recovery.

Talking Points

  • Crude Oil and Copper Sold on Chinese Data but Losses Likely to be Fleeting
  • Gold, Silver Have Scope to Recover as Inflation Expectations Swell Again

Crude oil and copper are trading lower in the wake of a disappointing set of Chinese economic data released over the weekend. Beijing reported that the year-on-year CPI inflation rate unexpectedly accelerated to 3.2 percent in February, the highest in 10 months. Meanwhile, Industrial Production posted its weakest increase since October 2009 while Retail Sales advanced the least since January 2005 over the same period.

Taken together, that points to weakening growth dynamics coupled with the reduced likelihood of a monetary stimulus effort to offset them, which understandably bodes ill for oil and copper considering China is a critical demand hub for the two commodities.Indeed, the Asian giant is the world’s premier buyer of copper and second-largest buyer of oil.

S&P 500 index futures are pointing lower ahead of the opening bell on Wall Street, hinting the dour mood may carry forward. Although some corrective price action seems reasonable after the benchmark US stock index touched the highest levels since 2007 last week, the overall environment seems to continue to favor risk-geared assets amid signs the US economy may be able to tough out a decent year despite mounting fiscal drag while the Fed continues to offer ample stimulus. That bodes well for gold and silver as well as inflation expectations swell anew, hinting current weakness across the commodities space may prove short-lived.

WTI Crude Oil (NY Close): $91.95 // +0.39 // +0.43%

Prices continue to recover after putting in a bullish Piercing Line candlestick pattern, taking out initial resistance at 91.43 marked by the 23.6% Fibonacci retracement. Buyers now aim to challenge the 38.2% Fib at 92.73. The 91.43 level has been recast as near-term support, with a reversal back below that eyeing the March 4 low at 89.34.

Commodities_Crude_Oil_Gold_May_Recover_on_US_Recovery_Hopes_body_Picture_3.png, Crude Oil, Gold May Recover on US Recovery Hopes

Daily Chart - Created Using FXCM Marketscope 2.0

Spot Gold (NY Close): $1578.80 // -0.17 // -0.01%

Prices continue to consolidate above support at 1570.37, the 38.2% Fibonacci expansion. Near-term resistance is at 1589.36, the 23.6% level, with a break above that aiming for the February 26 high at 1620.09. Alternatively, a break downward initially aims for the 61.8% Fib at 1554.62.

Commodities_Crude_Oil_Gold_May_Recover_on_US_Recovery_Hopes_body_Picture_4.png, Crude Oil, Gold May Recover on US Recovery Hopes

Daily Chart - Created Using FXCM Marketscope 2.0

Spot Silver (NY Close): $28.99 // +0.08 // +0.26%

Prices continue to consolidate above support at 28.46, the 23.6% Fibonacci expansion. Near-term resistance is in the 29.42-92 area, with a break higher exposing a falling trend line now at 30.76. Alternatively, a reversal below support targets the 38.2% level at 27.86.

Commodities_Crude_Oil_Gold_May_Recover_on_US_Recovery_Hopes_body_Picture_5.png, Crude Oil, Gold May Recover on US Recovery Hopes

Daily Chart - Created Using FXCM Marketscope 2.0

COMEX E-Mini Copper (NY Close): $3.510 // -0.010 // -0.28%

Prices are testing below support at 3.495, the 38.2% Fibonacci expansion, with a break lower targeting the 50% level at 3.463. Near-term support-turned-resistance marked by a rising trend line set from early June, now at 3.528. This barrier is reinforced by the 23.6% expansionat 3.536. A move above the latter level is eyes the February 28 high at 3.601.

Commodities_Crude_Oil_Gold_May_Recover_on_US_Recovery_Hopes_body_Picture_6.png, Crude Oil, Gold May Recover on US Recovery Hopes

Daily Chart - Created Using FXCM Marketscope 2.0

--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com

To contact Ilya, e-mail ispivak@dailyfx.com. Follow Ilya on Twitter at @IlyaSpivak

To be added to Ilya's e-mail distribution list, please CLICK HERE

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.