Gold and Crude Oil: Long-Term Outlook

FXOpen

Gold price could restart a steady increase above the $1,990 resistance. Crude oil price is rising and it could climb further higher toward $85.

Important Takeaways for Gold and Oil Prices Analysis Today

  • Gold price corrected lower from $2,080 and tested $1,900 against the US Dollar.
  • A key bullish trend line is forming with support at $1,940 on the daily chart of gold at FXOpen.
  • Crude oil prices are moving higher above the $76.75 resistance zone.
  • There was a break above a key contracting triangle with resistance near $71.00 on the daily chart of XTI/USD at FXOpen.

Gold Price Technical Analysis

On the daily chart of Gold at FXOpen, the price started a downside correction from the $2,080 zone. The price traded below the $2,050 and $1,990 levels.

Finally, the bulls appeared near the $1,900 level. A low was formed near $1,900 and the price is now attempting a fresh increase. There was a move above the 23.6% Fib retracement level of the downward move from the $2,080 swing high to the $1,900 low.

The price is now trading above the 50-day simple moving average. There is also a key bullish trend line forming with support at $1,940.

Immediate resistance is near the 50% Fib retracement level of the downward move from the $2,080 swing high to the $1,900 low at $1,990. The next major resistance is near $2,000. An upside break above $2,000 could send Gold price toward $2,050. Any more gains may perhaps set the pace for an increase toward the $2,080 level.

Initial support on the downside is near the $1,940 level. The first major support is near $1,900. If there is a downside break below $1,900, the price might decline further. In the stated case, XAU/USD might drop toward $1,805.

Oil Price Technical Analysis

On the daily chart of WTI Crude Oil at FXOpen, the price started a decent increase against the US Dollar. The price gained bullish momentum after it broke the $71.00 resistance.

Besides, there was a break above a key contracting triangle with resistance near $71.00. The price climbed above the $75.00 pivot level as mentioned in the previous analysis. Finally, the bulls pushed the price above the 61.8% Fib retracement level of the downward move from the $84.53 swing high to the $63.90 low.

The price is now trading above the 50-day simple moving average, and the 76.4% Fib retracement level of the downward move from the $84.53 swing high to the $63.90 low.

It seems like the bulls are aiming for a test of $83.70. If the price climbs further higher, it could face resistance near $85.00. Any more gains might send the price toward the $88.00 level.

Conversely, the price might correct gains and test the $76.75 support. The first major support is near the 50-hour simple moving average or $73.80. The next major support on the WTI crude oil chart is near $71.00.

If there is a downside break, the price might decline toward $67.15. Any more losses may perhaps open the doors for a move toward the $65.00 support zone.

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This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

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