Market Analysis: Gold and Crude Oil At Risk of More Losses

FXOpen

Gold price is struggling below the $1,967 support level. Crude oil price is also declining and remains at a risk of more losses below $70.75.

Important Takeaways for Gold and Oil Prices Analysis Today

  • Gold price failed to clear the $1,982 resistance and trimmed gains against the US Dollar.
  • It is now following a short-term declining channel with resistance near $1,948 on the hourly chart of gold at FXOpen.
  • Crude oil prices are also moving lower below $72.80 and $72.00 levels.
  • There was a break below a major bullish trend line with support near $73.50 on the hourly chart of XTI/USD at FXOpen.

Gold Price Technical Analysis

On the hourly chart of Gold at FXOpen, the price struggled to start a fresh increase above the $1,982 resistance. The price started a fresh decline below the $1,967 support.

There was a close below the 50-hour simple moving average and $1,950. The price tested the $1,938 support zone. A low is formed at $1,936.68, and the price is now consolidating losses. It is following a short-term declining channel with resistance near $1,948.

The channel resistance is near the 23.6% Fib retracement level of the downward move from the $1,982 swing high to the $1,938 low. The next major resistance is near the $1,950 level.

If the breakout occurs, the price will target resistance of $1,960 near the 50% Fib retracement level of the downward move from the $1,982 swing high to the $1,938 low and the 50-hour simple moving average. An upside break above $1,960 could send the Gold price toward $1,967. Any more gains may perhaps set the pace for an increase toward the $1,982 level.

Initial support on the downside is near the $1,938 level. The first major support is near the $1,932 level. The next support sits near the $1,920 level. If there is a downside break below $1,920, the price might decline heavily towards $1,900, below which the bulls could aim for a test of $1,880.

Oil Price Technical Analysis

On the hourly chart of WTI Crude Oil at FXOpen, the price struggled to rise above the $74.60 resistance against the US Dollar. A high was formed near $74.66, and the price moved down.

There was a break below a major bullish trend line with support near $73.50. The price declined below the 50-hour simple moving average, and the RSI dropped to 25. A low is formed near $70.97, and the price is now consolidating losses.

It is trading near the 23.6% Fib retracement level of the recent decline from the $74.66 swing high to the $70.75 low, above which the price might attempt a recovery.

The first major resistance is near the 50% Fib retracement level of the recent decline from the $74.66 swing high to the $70.75 low at $72.80. Any more gains might send the price toward the $73.50 level in the coming days.

On the downside, support is near the $70.75 level. The next major support on the WTI crude oil chart is near $70.20. If there is a downside break, the price might decline toward $68.80. Any more losses may perhaps open the doors for a move toward the $66.50 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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