Market Analysis: Gold Price and Crude Oil Price Signal Bearish Acceleration
Gold price started a sharp decline from $2,450. Crude oil prices declined steadily below the $80.00 support and moved into a bearish zone.
Important Takeaways for Gold and Oil Prices Analysis Today
· Gold price climbed higher toward the $2,450 zone before there was a sharp decline against the US Dollar.
· A key bearish trend line is forming with resistance near $2,375 on the hourly chart of gold at FXOpen.
· Crude oil prices extended downsides below the $78.00 support zone.
· A major bearish trend line is forming with resistance near $78.00 on the hourly chart of XTI/USD at FXOpen.
Gold Price Technical Analysis
On the hourly chart of Gold at FXOpen, the price rallied heavily above the $2,350 resistance. The price even spiked above $2,425 before the bears appeared.
A high was formed near $2,450 before there was a major decline. There was a move below the $2,400 support level. The bears even pushed the price below the $2,355 support and the 50-hour simple moving average.
It tested the $2,325 zone. A low is formed near $2,326 and the price is now showing bearish signs. Immediate resistance is near the 23.6% Fib retracement level of the downward move from the $2,450 swing high to the $2,326 low at $2,355.
The next major resistance is near a bearish trend line at $2,375. The trend line is close to the 50-hour simple moving average.
The main resistance could be $2,388 and the 50% Fib retracement level of the downward move from the $2,450 swing high to the $2,326 low, above which the price could test the $2,410 resistance. The next major resistance is $2,450.
An upside break above the $2,450 resistance could send Gold price toward $2,480. Any more gains may perhaps set the pace for an increase toward the $2,500 level.
Initial support on the downside is near the $2,325 level. The first major support is near the $2,312 level. If there is a downside break below the $2,312 support, the price might decline further. In the stated case, the price might drop toward the $2,250 support.
Oil Price Technical Analysis
On the hourly chart of WTI Crude Oil at FXOpen, the price struggled to continue higher above $80.00 against the US Dollar. The price formed a short-term top and started a fresh decline below $78.00.
There was a steady decline below the $77.40 pivot level. The bears even pushed the price below $76.50 and the 50-hour simple moving average. Finally, the price tested the $76.30 zone. The recent swing low was formed near $76.31, and the price is now consolidating losses.
Immediate support is near the $76.30 level. The next major support on the WTI crude oil chart is near $75.00. If there is a downside break, the price might decline toward $73.50. Any more losses may perhaps open the doors for a move toward the $72.00 support zone.
On the upside, immediate resistance is near the 23.6% Fib retracement level of the downward move from the $78.52 swing high to the $76.31 low at $76.80.
The next resistance is near the 50-hour simple moving average and the 50% Fib retracement level of the downward move from the $78.52 swing high to the $76.31 low at $77.40. The main resistance is near a trend line at $78.00.
A clear move above the trend line resistance could send the price toward $79.05. The next key resistance is near $79.90. If the price climbs further higher, it could face resistance near $81.20. Any more gains might send the price toward the $82.00 level.