- Weekly Movement: Gold has seen a slight decline of 0.3% over the week.
- Market Influences: U.S. bank stresses, Chinese New Year buying, and ongoing Middle East tensions are supporting gold prices, according to Hugo Pascal from InProved.
- Middle East Concerns: Israeli military actions continue in Rafah, despite rejection of Hamas truce proposal by Prime Minister Netanyahu.
- Inflation Data Anticipation: Markets await the U.S. CPI report, influencing interest rate cut forecasts in the U.S.
- Silver Prices Increase: Spot silver up 0.3% to $22.63.
- Oil Market Steady: Oil prices remain mostly unchanged, with Brent at $81.62 a barrel and WTI at $76.25, both looking at over 5% weekly gains.
- Russian Oil Exports: Russia's crude exports increase despite OPEC+ pact commitments.
- China's Economic Pressures: Deflation risks and recent CPI figures in China cast a shadow on oil prices during Lunar New Year celebrations.
Commodities Focus Trading Signals
Asset: XAUUSD (Gold)
Pivot Point: 2,030.957
Trade Direction: BEARISH to NEUTRAL
Trade Confidence: Low to moderate - The current position of gold around the pivot point suggests uncertainty, with potential pressure from a firmer U.S. dollar and subdued volatility.
Yesterday's Trend
Gold remained relatively flat as markets were quiet with China on Lunar New Year break and investors awaiting U.S. CPI data.
Market Trend Analysis
- Volatility: The Average True Range (ATR) indicates moderate volatility, signaling a potential for limited price movement.
- Technical Indicators: The RSI is around the midpoint, suggesting no clear momentum, while the MACD is close to the signal line, indicating a lack of strong directional bias.
- Market Influences: Investor focus on Middle East tensions and U.S. inflation data for interest rate clues.
🎯 Profit Targets
- Sell:
- 1st Target (1st Support): 2,023.483
- 2nd Target (2nd Support): 2,012.867
- 3rd Target (3rd Support): 2,005.393
❌ Stop Loss Guidelines
- Sell: Set the stop loss at the 1st Resistance level of 2,041.573.
Suggestion
Considering the current market sentiment and technical indicators, a cautious bearish to neutral position may be taken. Traders should closely monitor geopolitical developments and U.S. CPI data releases, which may significantly impact gold prices.
Asset: XAG/USD (Silver)
Pivot Point: 22.447
Trade Direction: NEUTRAL to BEARISH
Trade Confidence: Moderate - Silver's position near the pivot point suggests a lack of strong directional bias. The moderate confidence reflects the current market's indecision.
Yesterday's Trend
Silver prices were stable, indicating a consolidation pattern around the pivot level.
Market Trend Analysis
- Volatility: Average True Range (ATR) indicates moderate volatility, not conducive to large price swings.
- Technical Indicators: RSI and MACD are neutral, with no clear signals of a strong trend.
- Potential Influences: Market participants may be cautious ahead of upcoming U.S. CPI data.
🎯 Profit Targets
- Sell:
- 1st Target (1st Support): 22.274
- 2nd Target (2nd Support): 21.975
- 3rd Target (3rd Support): 21.802
❌ Stop Loss Guidelines
- Sell: Set the stop loss at the 1st Resistance level of 22.746.
Suggestion
In the current market conditions, a neutral to bearish stance can be adopted, with a close watch on the pivot point level for potential shifts in momentum. Trades should be protected with a stop loss just above the first resistance level.
Asset: WTI (West Texas Intermediate Crude Oil)
Pivot Point: 75.720
Trade Direction: NEUTRAL to BEARISH
Trade Confidence: Moderate - The nearness to the pivot point and the lack of significant movement in either direction suggest a neutral to bearish stance.
Yesterday's Trend
The price of WTI was relatively strong, with major a rise around the pivot level.
Market Trend Analysis
- Volatility: The ATR indicates moderate volatility, suggesting some room for movement but not excessively volatile conditions.
- Technical Indicators: The RSI is near the midpoint, suggesting a lack of strong momentum, while the MACD is flat, providing no clear directional bias.
🎯 Profit Targets
- Sell:
- 1st Target (1st Support): 75.120
- 2nd Target (2nd Support): 74.020
- 3rd Target (3rd Support): 73.420
❌ Stop Loss Guidelines
- Sell: Set the stop loss at the 1st Resistance level of 76.820.
Suggestion
Given the current technical setup and moderate confidence, a cautious approach is advised, with a close watch on the pivot point for shifts in price direction. Setting a stop loss at the first resistance level can help mitigate potential risks.
Asset: Brent Oil
Pivot Point: 80.853
Trade Direction: BEARISH
Trade Confidence: Moderate - The confidence in the bearish direction is moderate due to the price being just below the pivot point and technical indicators not showing a strong momentum.
Yesterday's Trend
The price of Brent Oil was relatively strong, with major a rise around the pivot level.
Market Trend Analysis
- Volatility: The ATR reflects moderate volatility, indicating potential for some price movement but not extreme swings.
- Technical Indicators: RSI is near the midpoint, suggesting a lack of strong momentum in either direction, and the MACD is flat, signaling no clear trend.
🎯 Profit Targets
- Sell:
- 1st Target (1st Support): 79.807
- 2nd Target (2nd Support): 77.983
- 3rd Target (3rd Support): 76.937
❌ Stop Loss Guidelines
- Sell: Set the stop loss at the 1st Resistance level of 82.677.
Suggestion
Given the indicators and the price position near the pivot point, a bearish stance could be considered. Traders should employ a stop loss just above the first resistance to manage risk.
Asset: Copper
Pivot Point: 3.715
Trade Direction: BEARISH
Trade Confidence: Moderate - Copper’s current price action below the pivot point suggests a bearish outlook, reinforced by the MACD trending below the signal line.
Yesterday's Trend
Copper prices showed a downward trend, closing below the previous day's opening price.
Market Trend Analysis
- Volatility: The ATR indicates moderate volatility, with potential for continued price fluctuations within a defined range.
- Technical Indicators: The RSI is neither oversold nor overbought, but the downward slope suggests growing bearish momentum. The MACD below its signal line further supports the bearish trend.
🎯 Profit Targets
- Sell:
- 1st Target (1st Support): 3.666
- 2nd Target (2nd Support): 3.631
- 3rd Target (3rd Support): 3.582
❌ Stop Loss Guidelines
- Sell: Set the stop loss at the 1st Resistance level of 3.750.
Suggestion
Given the current bearish indicators, it may be advisable to enter a short position with the profit targets outlined above. A stop loss slightly above the first resistance level can help manage risk.
Disclaimer: These Trading Signals are based on the current charts and market conditions. Always conduct your own analysis and consider risk management strategies before entering any trade. Markets are dynamic, and conditions can change rapidly.
As with all investments, your capital is at risk. Investments can fall and rise and you may get back less than you invested.