Market Analysis: Gold Price Corrects Gains While Oil Price Regains Strength

Gold price rallied above $2,400 before correcting lower. Crude oil price is rising and it could climb further higher toward the $85.50 resistance.

Important Takeaways for Gold and Oil Prices Analysis Today

· Gold price rallied significantly above $2,400 and recently corrected lower against the US Dollar.

· It cleared a key bearish trend line with resistance at $2,310 on the hourly chart of gold at FXOpen.

· Crude oil prices are moving higher above the $82.00 resistance zone.

· There was a break above a connecting bearish trend line with resistance at $82.00 on the hourly chart of XTI/USD at FXOpen.

Gold Price Technical Analysis

On the hourly chart of Gold at FXOpen, the price was able to climb above the $2,350 resistance, as mentioned in the previous analysis. The price even broke the $2,400 level before the bears appeared.

The price traded close to the $2,420 zone before there was a downside correction. There was a move below the $2,355 pivot zone. The price settled below the 50-hour simple moving average and RSI dipped below 50. Finally, it tested the $2,290 zone.

The price is now correcting losses above the 23.6% Fib retracement level of the downward move from the $2,417 swing high to the $2,291 low. It surpassed a key bearish trend line with resistance at $2,310.

Immediate resistance on the upside is near the 50-hour simple moving average and $2,330. The next major resistance is near the 50% Fib retracement level of the downward move from the $2,417 swing high to the $2,291 low at $2,355.

An upside break above the $2,355 resistance could send Gold price toward $2,400. Any more gains may perhaps set the pace for an increase toward the $2,420 level. If there is no fresh increase, the price could continue to move down.

Initial support on the downside is near the $2,310 level. The first major support is $2,290. If there is a downside break below the $2,290 support, the price might decline further. In the stated case, the price might drop toward the $2,265 support.

Oil Price Technical Analysis

On the hourly 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 $81.10 resistance.

There was a break above a connecting bearish trend line with resistance at $82.00. The bulls pushed the price above the 50-hour simple moving average and the RSI climbed toward 65. There was a clear move above the 50% Fib retracement level of the downward move from the $85.48 swing high to the $80.59 low.

Immediate resistance is near the $83.60 level. It is close to the 61.8% Fib retracement level of the downward move from the $85.48 swing high to the $80.59 low.

If the price climbs further higher, it could face resistance near $84.30. The next major resistance is near the $85.50 level. Any more gains might send the price toward the $87.00 level.

Conversely, the price might correct gains and test the $82.70 support. The next major support on the WTI crude oil chart is near the 50-hour simple moving average at $82.00. If there is a downside break, the price might decline toward $81.10. Any more losses may perhaps open the doors for a move toward the $80.00 support zone.