Commodities technical analysis XAUUSD, XAGUSD, OIL, NAT GAS, WHEAT, COTTON, COPPER
Click on the chart image to enlarge it
XAUUSD-GOLD
Look only for short trades for now as long the instrument is below 1270 level. No change in view SL on short trades above the 1250 level. We have a break below 1240 wedge lower line level. Looking for a continuation downside from here with a clear daily close below 1210. A clear daily break below 1210 is opening the 1180 target. The downside support is 1210-1220 zone.
XAGUSD-SILVER
Silver has broken below 100 SMA 17.30 level making it a strong downside support. Look only for fresh short entries in the case of a pullback to 17.30-17.40 with SL above 17.40.
OIL
We have a break below 51 and the instrument is on its way to test 48-49 zone. Look for new short entries in the case of the pullback to 51.50 level. The instrument is reaching a strong downside resistance 47-48 zone. A clear daily close below 47 is required for a downside continuation into 41-42.
NATURAL GAS
Natural gas is again in the selling zone retesting falling trend line 3.000 level. Break below 2.706 is required for downside extension. Look now only for the short trade entries with SL above 3.1000. No change in view.
WHEAT
We prefer short trades for now. Rejection from 450 level and a falling trend line is confirming near-term bearish view. We have a daily close below 442 level also a SMA and we could see a retest of 409 level. SL on short entries above 458.
COTTON
Longs have played out and reached 100% extension where we could see a pullback. The instrument has broken below the 77.50 wedge level and now downside continuation is open and we could see a retest of 75.30 level. SL on short entries above 79.
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 weekly 200 SMA 277 level. The instrument has broken below the wedge and the downside continuation is in play. SL on short entries above 275 targeting 254 and 240. The instrument is pulling back into the downside support zone 265-270 after the 100 SMA 257 level test.
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.