Market Analysis: Gold and WTI Crude Oil Prices Signal Bullish Bias
Gold price started a fresh increase above the $2,600 resistance level. WTI Crude oil prices climbed higher above $70.00 and might extend gains.
Important Takeaways for Gold and WTI Crude Oil Prices Analysis Today
· Gold price started a steady increase from the $2,535 zone against the US Dollar.
· A connecting bullish trend line is forming with support near $2,645 on the hourly chart of gold at FXOpen.
· WTI Crude oil prices extended gains above the $68.50 and $70.00 resistance levels.
· There is a key bullish trend line forming with support at $70.30 on the hourly chart of XTI/USD at FXOpen.
Gold Price Technical Analysis
On the hourly chart of Gold at FXOpen, the price formed a base near the $2,535 zone. The price started a steady increase above the $2,600 and $2,605 resistance levels.
There was a decent move above the 50-hour simple moving average and $2,675. The bulls pushed the price above the $2,700 resistance zone. Finally, the bears appeared near $2,720. A high was formed near $2,720 and the price is now consolidating gains.
The price dipped a few points below the 23.6% Fib retracement level of the upward move from the $2,536 swing low to the $2,720 high. The RSI is now below 50 and the price is now approaching a connecting bullish trend line with support near $2,645.
If there is a downside break below the $2,645 support, the price might decline further. In the stated case, the price might drop toward the $2,605 support or the 61.8% Fib retracement level of the upward move from the $2,536 swing low to the $2,720 high. The next major support sits at $2,585.
Immediate resistance is near the $2,710 level. The next major resistance is near the $2,720 level. An upside break above the $2,720 resistance could send Gold price toward $2,740. Any more gains may perhaps set the pace for an increase toward the $2,750 level.
Oil Price Technical Analysis
On the hourly chart of WTI Crude Oil at FXOpen, the price started a major upward move from $66.50 against the US Dollar. The price gained bullish momentum after it broke the $68.50 resistance and the 50-hour simple moving average.
The bulls pushed the price above the $70.00 and $70.30 resistance levels. The recent high was formed at $71.36 and the price started a downside correction. There was a minor move below the 23.6% Fib retracement level of the upward move from the $69.19 swing low to the $71.36 high.
The RSI is still above the 50 level and there is a key bullish trend line forming with support at $70.30. Immediate support on the downside is near the trend line zone.
The next major support on the WTI crude oil chart is near the $70.00 zone or the 61.8% Fib retracement level of the upward move from the $69.19 swing low to the $71.36 high, below which the price could test the $69.20 zone.
If there is a downside break, the price might decline toward $68.50. Any more losses may perhaps open the doors for a move toward the $66.50 support zone.
If the price climbs higher again, it could face resistance near $71.35. The next major resistance is near the $72.20 level. Any more gains might send the price toward the $74.50 level.