Daily Gold/Silver/Crude Oil/Dollar Index Levels

Commodities Market: Technical Outlook

Gold witnessed a range bound activity to close at $1,255, up $2.28. Gold is expected to face resistance at the 14-DMA; where a break above will target the 200-DMA at $1,268, followed by $1,277. However, any downside will revisit Friday’s low; where a fall below will cause the downtrend to resume. The RSI and the MACD have continued to rise, supporting a positive view. We recommend investors to ‘Buy on dips’, keeping stop loss below $1,252.

Silver ended the session higher at $16.02, up $0.15. Silver is expected to revisit Friday’s high of $16.07; where a break above will extend the gain towards $16.48. However, any downside will find support at Friday’s low of $15.87. Meanwhile, the RSI and the Stochastic Oscillator are heading up, supporting a positive view. We recommend investors to view any downside as an opportunity to ‘Buy’, with risk defined below $15.87.

Crude oil showed positive movement to close at $57.34, up $0.21. Oil has closed above the 14-DMA, making a higher high and higher low that indicates potential for further upside. The upside target remains intact at $58.57, followed by $60.11. However, any downside will find support at the 14-DMA; where a fall below will target $55.84 and $55.14. The indicators are mixed, supporting a neutral view. We recommend investors to ‘Buy on dips’, keeping stop loss below the 14-DMA.

The USD index ended the session higher at 93.92, up 0.32 points. The index has closed above the 50-DMA which will now restrict downside at 93.68, followed by the 14-DMA at 93.45. However, a break above Friday’s high will open the way towards 94.19. The RSI and the MACD have moved up, supporting a positive view. We recommend investors to ‘Buy’ at lower levels, keeping stoploss below the 14-DMA.