Daily Trade Technical Gold/Silver/Crude Oil/Dollar Index

Commodities Market: Technical Outlook:

Consolidation continued for gold as it closed at $1,320, up $1.21. Gold is expected to revisit yesterday’s high of $1,322; where a break above will lead to further gains towards $1,338. However, any downside will find support at $1,315 (yesterday’s low); where a fall below will initiate the corrective trend with $1,305 and $1,292 as the downside target. The indicators are mixed, supporting a neutral view. We recommend investors to stop buying below $1,315.

Silver posted a loss of $0.07 to close at $17.11. Silver is expected to test support at the 200-DMA; where a fall below will kick off the corrective trend with $16.63 in sight. However, a break above yesterday’s high will extend the gain towards $17.36, followed by $17.77. The RSI has moved down, while the MACD is rising, signaling no clear trading view. We recommend investors to stay ‘long’ above the 200-DMA.

Crude oil closed the session higher at $61.83, a gain of $0.33. Oil is expected to revisit yesterday’s high of $61.91; where a break above will extend the gain towards $63.17. However, any downside will find support at $61.33; where a fall below will initiate the corrective trend with $59.69 as the downside target. The RSI and the MACD are heading up, supporting a positive view. Investors are recommended to ‘Buy on dips’, keeping stoploss below $61.33.

The USD index ended the session higher at 92.07, up 0.34 points. If the gain continues, the initial target will be at 92.38 (14-DMA), with a chance of later extending towards 92.63. However, any downside will find support at yesterday’s low of 91.59. The RSI and the Stochastic Oscillator have moved up, supporting a positive view. We recommend investors to ‘Buy’ at lower levels, with risk defined below 91.59.

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