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.

Free Trading Guides
EUR/USD
Bullish
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
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
Gold
Mixed
Oil - US Crude
Mixed
Bitcoin
Bullish
More View more
Real Time News
  • Currency markets may be battered by breakneck volatility if a slowdown in global economic growth triggers a collapse in the fragile market for collateralized loan obligations (CLOs). Get your market update from @ZabelinDimitri here:https://t.co/KfjjtaXs7b https://t.co/sWeSlv33pb
  • The #Dow Jones and #Nasdaq 100 will await key earnings from some of the world’s largest manufacturers and tech companies while the #DAX grapples with freshly-imposed tariffs. Get your equities market update from @PeterHanksFX Here: https://t.co/u2lG19JFt3 https://t.co/OHs4rQEH7T
  • Crude #oil prices are consolidating above a key support zone we’ve been tracking for more-than three months now. Get your market update from @MBForex here: https://t.co/XaACvEpLG4 #OOTT https://t.co/XjmjUt4Par
  • Why trade with Bollinger Bands®? Find out as a day trader, how you can use it to your advantage:https://t.co/dwODDDSsFi @WVenketas https://t.co/SYduJ5k9mL
  • As the global economy continues to contract, the risk of geopolitical threats undermining financial and economic stability are rising, leaving the door open to violent volatility. Get your market update from @ZabelinDimitri here:https://t.co/2HEzqPobvA https://t.co/k13SwJmbRm
  • RT @IGSquawk: We're currently pricing #GBPUSD at 1.2852 and #FTSE at 7129.2 That's a drop of 1.18% from Fridays close for GBPUSD and 0.22%…
  • #DidYouKnow a #Doji candlestick signals market indecision and the potential for a change in direction. What are the top five types of Doji candlesticks? Find out: https://t.co/c51s3IBcEu https://t.co/K6W9X4v8XD
  • The $NZD may be carving out a near-term bottom against its US counterpart but scope for gains seems limited within a broader downtrend. Get your technical analysis from @IlyaSpivak here: https://t.co/7bsVuSyWMn https://t.co/DsmNYKk8v3
  • Can you trade with the joy of missing out (#JOMO)? Find out how you can turn your #FOMOintrading to JOMO here: https://t.co/G5H26NXZQe https://t.co/pVdKUPzvmk
  • RT @PaulBrandITV: It’s likely that this will end up in court on Monday. The case in the Scottish courts may well consider that this doesn’t…
Crude Oil Prices Eye EIA and API Data, Gold Prices May Fall

Crude Oil Prices Eye EIA and API Data, Gold Prices May Fall

2019-01-15 06:00:00
Ilya Spivak, Sr. Currency Strategist
Share:

CRUDE OIL & GOLD TALKING POINTS:

  • Crude oil prices drop with stocks amid broad-based risk aversion
  • EIA outlook report, API inventory flow data in the spotlight next
  • Gold prices may fall as yields rise on US PPI, sentiment recovery

Crude oil prices fell alongside shares amid broad-based deterioration in risk appetite yesterday. Gold prices edged up as the markets’ dour mood stoked haven demand for government bonds and drove yields downward, boosting the relative appeal of non-interest-bearing assets epitomized by the yellow metal. Neither commodity made headway beyond recently prevailing trading ranges however (see charts below).

CRUDE OIL EYES EIA AND API DATA, GOLD MAY FALL AS YIELDS RISE

Looking ahead, the EIA Short-Term Energy Outlook report is on tap. The former seems likely to suggest that the narrowing of the gap between US demand and supply will continue, amounting to a headwind for prices. The latest leg in the long-term contraction of the shortfall needed to be made up with imports started in June 2017. It registered at a record-low 8.5 million barrels in September.

API crude oil inventory flow data is also due. It will be sized up against expectations calling for a 1.3-million-barrel drawdown to be reported in official DOE statistics on Wednesday. A larger outflow may boost prices while a smaller one – or even an unexpected build – might pressure them downward.

Meanwhile, a jump in wholesale inflation might help inspire a rethink of the recent dovish shift in Fed policy bets. The core US PPI reading is expected to rise to 3 percent on-year, amounting the fastest rise in factory-gate prices since August 2011. Bellwether S&P 500 futures are on the upswing, hinting that this might be coupled with a sentiment-driven rise in yields. Taken together, this spells trouble for gold.

See our guide to learn about the long-term forces driving crude oil prices!

GOLD TECHNICAL ANALYSIS

Gold prices are treading water, but a bearish Dark Cloud Cover candlestick pattern still hints that a top is in the works. A break below support at 1282.27 initially exposes the 1257.60-66.44 area (former resistance, rising trend line). Alternatively, a daily close above the 1302.97-07.32 region targets minor resistance at 1323.60, followed by a pivotal barrier in the 1357.50-66.06 zone.

Crude Oil Prices Eye EIA and API Data, Gold Prices May Fall

CRUDE OIL TECHNICAL ANALYSIS

Crude oil prices pulled back from minor resistance at 53.39 to retest support-turned-resistance in the 49.41-50.15 zone. A daily close below broadly exposes the 42.05-55 region. Alternatively, a push upward that overcomes the 54.51-55.24 area paves the way for a test of 59.05.

Crude Oil Prices Eye EIA and API Data, Gold Prices May Fall

COMMODITY TRADING RESOURCES

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

To contact Ilya, use the comments section below or @IlyaSpivak on Twitter

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

DISCLOSURES

News & Analysis at your fingertips.