News & Analysis at your fingertips.

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. See our updated Privacy Policy here.

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
Subscribe
Please try again
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
More View more
Real Time News
  • The US Dollar outlook against ASEAN currencies like the Singapore Dollar, Thai Baht, Indonesian Rupiah and Philippine Peso remains bullish amid capital outflows risks as Covid cases swell. Get your market update from @ddubrovskyFX here:https://t.co/vRUVxvQP8o https://t.co/cUEkW9BfIP
  • Is investing in your favorite brand or buying its products the better financial move? Read the article for a breakdown. https://t.co/iWOlDAK8cD https://t.co/0uS5VvWj12
  • Crude oil prices collapsed on Monday despite an OPEC+ breakthrough, driven by Covid-induced demand woes. Meanwhile, Gold is at odds with a stronger US Dollar and falling Treasury yields. Get your #crudeoil market update from @FxWestwater here:https://t.co/H1vmag8d1k https://t.co/PW5pCw9dKR
  • The Japanese Yen has been making a comeback, but it may soon resume its decline against the US Dollar as USD/JPY consolidates within a bullish Falling Wedge. Watch for a breakout. Get your market update from @ddubrovskyFX here:https://t.co/zxRWoNR4lS https://t.co/bXTx0TSRmU
  • BTC/USD treading water sideways, 28600 the big level to watch. ETH/USD working on forming a nice-looking descending wedge. Get your market update from @PaulRobinsonFX here:https://t.co/H1qOV4FR1P https://t.co/tjutUl7Nt7
  • Gold hasn’t been very active the past few sessions, but that could change next week and provide a stronger trading bias. Get your weekly gold technical forecast from @PaulRobinsonFX here: https://t.co/HaEe3i4Sug https://t.co/LsARS2mnFI
  • Market uncertainty sees GBP pairs break out of their ranges. Get your weekly GBP forecast from @HathornSabin here: https://t.co/IRO7a6Jv8J https://t.co/4LxWz7sOVF
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.01% 🇪🇺EUR: 0.01% 🇨🇦CAD: -0.03% 🇬🇧GBP: -0.16% 🇦🇺AUD: -0.21% 🇯🇵JPY: -0.36% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/AXKeEsin95
  • Commodities Update: As of 20:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: -0.02% Gold: -0.27% Silver: -0.91% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/PgsZBsHHp8
  • The Canadian Dollar is poised to snap a three week losing streak against the US Dollar after USD/CAD reversed sharply off technical resistance early in the week. Get your $CAD market update from @MBForex here:https://t.co/JhO6n3Di9h https://t.co/17N1aFRUDB
Gold Prices May Probe Higher But Chart Setup Warns of Topping

Gold Prices May Probe Higher But Chart Setup Warns of Topping

Ilya Spivak, Head Strategist, APAC
Gold prices down as crude oil, stocks and yields rebound on ebbing US-China trade war fears

Crude oil, gold price performance chart created using TradingView

GOLD & CRUDE OIL TALKING POINTS:

  • Commodities seesaw as Trump opines on US-China trade war, Iran
  • Gold prices may probe higher but technical setup warns of topping
  • Crude oil prices eye support near $50/bbl, API inventory data due

Gold prices edged lower Monday, gradually erasing a sharp upward spike at the trading open to close nearly flat for the day. The initial surge came courtesy of US-China trade war escalation late last week. The intraday reversal was marked by comments from US President Donald Trump. Speaking fromthe sidelines of the G7 summit, he claimed thatBeijing called to restart talks, reviving the markets’ spirits.

Crude oil prices rose alongside stocks as ebbing trade war worries buoyed risk appetite, closing a downward gap at the weekly trading open. Those gains were soon erased by another set of comments from Mr Trump however, this time offering up “good feelings” about Iran and suggesting that a deal with Tehran could be done. That seemed to chip away at the geopolitical risk premium baked into prices.

GOLD MAY TEST HIGHER WHILE CRUDE OIL WEAKENS AS SENTIMENT SOURS ANEW

Looking ahead, a risk-off tilt seems to be re-emerging as bellwether S&P 500 futures point conspicuously lower. That follows comments from Chinese sources – including Global Times editor-in-chief Hu Xijin – casting doubt on Mr Trump’s account of the fateful phone call asking to resume negotiations. The paper is a part of the People’s Daily, the flagship print outlet for the ruling Communist Party.

In any case, the baseline disagreement between the two sides remains unresolved and neither party has walked back the latest round of planned tariff hikes. This might be enough to sour investors’ mood anew now that yesterday’s euphoria has somewhat subsided. Gold may attempt another upward push as yields backtrack in such a scenario.

Crude oil prices might weaken in the meanwhile, although incoming API inventory flow data could disrupt the influence of sentiment trends. The data will be weighed up against expectations of a 1.94-million-barrel drawdown expected to be reported in official EIA statistics on Wednesday. A larger outflow might prove to be supportive while a smaller one has scope to amplify any selling pressure.

Get our free guide to help build confidence in your gold and crude oil trading strategy!

GOLD TECHNICAL ANALYSIS

Gold prices put in a dramatic-looking Shooting Star candlestick on a test of resistance at 1535.03, the August 13 high. This coupled with negative RSI divergence warns that a top might be taking shape. Breaking below initial support at 1480.00 initially exposes the 1437.70-52.95 zone. Alternatively, taking out resistance sees the next upside barrier marked by a weekly chart inflection level at 1563.00.

Gold price chart - daily

Gold price chart created using TradingView

CRUDE OIL TECHNICAL ANALYSIS

Crude oil prices broke support in the 53.95-54.84 congestion area, setting the stage for a retest recent lows near the $50/bbl figure. Pushing further beneath that would put three-year support in the 42.05-43.00 zone back into focus. Critical resistance is marked by a downward-sloping barrier capping forays to the upside since late April. Its outer layer is now at 57.84.

Crude oil price chart - daily

Crude oil price chart created using TradingView

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