Commodities Research Report - Jan 11, 2018
Gold failed to sustain its intraday high of $1,328 and slid to close at $1,316, up $3.8. Gold is expected to revisit yesterday’s high; where a break above will resume the uptrend with $1,338 and $1,362 in sight. However, any downside will find support at $1,308; where a fall below will target $1,305, followed by $1,292. The indicators are mixed, supporting a neutral view. We recommend investors to continue with a ‘Sell on Strength’ strategy, keeping stop loss above $1,328.
Silver closed the session lower at $16.93, down $0.01. Silver is expected to re-test support at the 200-DMA; where a fall below will extend the decline towards $16.63. However, any upside will find resistance at yesterday’s high of $17.17. The RSI and the MACD are moving down, supporting a negative view. We recommend investors to ‘Sell on Strength’, keeping stop loss above $17.17.
Crude oil witnessed a low range activity to close flat at $63.31. Oil is expected to revisit yesterday’s high of $63.54; where a break above will open the way towards $63.91, followed by $65.07. However, any downside will find support at $62.95; where a fall below will kick off the corrective trend. The Stochastic Oscillator and the MACD are heading up, supporting a positive view. We recommend investors to ‘Buy on dips’, keeping stop loss below $62.95.
The USD index after making a low of 91.64 recovered to close at 92.09, down 0.12 points. The index is expected to re-test resistance at the 14-DMA; where a break above will target 92.63, followed by 92.91. However, any downside will find support at 91.64. The MACD and the Stochastic Oscillator have moved up, supporting a positive view. We recommend investors to ‘Buy on dips’, keeping stop loss below 91.64.
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