Commodities technical analysis XAUUSD, XAGUSD, OIL, NAT GAS, WHEAT, COTTON, COPPER
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XAUUSD-GOLD
Gold is again below 200 SMA 1281 level calling for more weakness. Targets on the downside are 1190 and 1170. Target is being hit and now downside support is 1200. Look for chances of short position here. SL should be above 1220. No change in view below 1169 target is 1100.
XAGUSD-SILVER
We are looking for price action to enter a downtrend. Instrument has broken below 16.80 and downside extension should continue. SL on shorts above 17.20. No change in view we need a close below 16.15 for further extension. No place for trades here unless we have bearish price action set up.
OIL
Has reached strong upside resistance 52-54 zone and we expect rejection here for a sideways price action between 45-50 in the coming days. SL on shorts here should be above 55. No change in view.
NATURAL GAS
Natural has is retesting broken uptrend line and is being rejected at the key 3.800 level. Watching the price action for direction. SL on initiated shorts here above 3.800. No change in view.
WHEAT
Has reversed strong form broken wedge 380 level. Strong resistance 416 level is ahead and we do not recommend buying the instrument here. Waiting for direction here.
COTTON
Has retraced recent swing higher and is bouncing from a 50% of Fibo retracement. Watching 71.84 for a clear directional break. No change in view and SL on any initiated longs should be below 67.70. Longs to be opened on a clear daily close of 71.80 targeting 78. No change in view.
COPPER
Long term view published HERE. Major triangle break and we see this as long trading opportunity SL should be below 214 targeting 280 and higher. Target zone 270-280 has been hit and we could see little hesitation around 200 SMA (blue line) 277 level. Watching price action here. So far rejection is on a way and we could see retest of 250 in the coming days and weeks.
Commodities rising with stock indices and we are bullish on most of them except gold, silver and energies for now.
A commodity market is a physical or virtual marketplace for buying, selling and trading raw or primary products, and there are currently about 50 major commodity markets worldwide that facilitate investment trade in approximately 100 primary commodities.
What are examples of commodities?Commodities are split into two types: hard and soft commodities. Hard commodities are typically natural resources that must be mined or extracted (such as gold, rubber and oil), whereas soft commodities are agricultural products or livestock (such as corn, wheat, coffee, sugar, soybeans and pork).
Technical analysis on commodities is just an indication of possible price movement and does not indicate any trade action which could be initiated by investors and members of this site.