Join Paul Tuesday-Friday for webinars each week, for details please see the Webinar Calendar.
Today, we focused on gold and silver as the former has clearly crossed above the all-important 2011 trend-line which has been a major obstacle on several occasions dating back to the summer of last year. While gold has clearly surpassed this major hurdle on a daily basis, we would like to see a weekly close given the long-term nature of it – that could come this week. A confirmed move above the t-line and the April swing high at 1295 clears a path towards the upper 1300s. Silver isn’t as clear and lagging gold on the macro-front, but if gold is about to embark on a major move higher then silver will follow.
Crude oil remains on the ‘sell-list’, but is finding some support around the 47 level. A clean break below should usher in more selling in the near-term towards 43.
The Nikkei broke out above the 20k mark, but is testing the breakout – it needs to hold here or else it’s at risk of sinking lower on a false breakout. The 12700 level is key for the DAX, and needs to hold if a near-term bullish bias is to remain intact. A break below will likely bring 12500 into focus, while a hold and push higher will bring Friday’s high near 12900 back into view. The CAC 40 is nearing the completion of a triangle, we’ll need to wait for a break before doing anything there. The FTSE 100 is at a cross-road of significant top-side trend-line resistance and the April trend-line. Should see a resolution this week.
Check out the video above for full technical and trading considerations.
---Written by Paul Robinson, Market Analyst
You can receive Paul’s analysis directly via email by signing up here.
You can follow Paul on Twitter at @PaulRobinonFX.
