Since 28th October 2015, Gold has continually made lower lows. However, on 16th November 2015, the daily candle made a higher low compared to the previous lows. Against this backdrop, we expect the current downward movements in the gold market to be short lived probably up to the lower supportive green trend line. We are waiting for a clear bounce from this supportive level then we'll go long with targets at 1098.86, and the next target at 1123.05.
We expect gold to trade on the higher ranges in the course of this week, therefore, buy along the supportive trend line at 1056.63, with targets at 1097.91, and 1138.92.
Silver Weekly Review:
Since 28th October 2015, Silver has continually made lower lows. However, on 16th November, silver markets made high low, compared to the previous day's lows. Based on this realization, we conclude that silver is positively correlated to Gold and are thus expected to move in the same direction as Gold. we will therefore remain short in silver as long as Gold give the same short signal. We will stop our sell position in silver when gold hits 1043.01, and then go long in both commodities in case we see a clear bullish candle in both. Ideally, both commodities are expected to trade on the higher ranges during the course of this week, with the green trend line acting as weekly support.
Go long from 13.86, with targets at 14.47, and the next target at 15.15. Any clear movements below 14.47, will call for further movements to the lower side.
Oil Weekly Review:
During the previous week, Oil markets gapped up and continued long but only up to a key resistant level 43.36, and is currently headed short. Any break below a key support 41.48 will call for further movements to the lower side probably up to 38.97, or even further down to 38.06. Any clear clear movements below 37.78, will signal a break of a very significant weekly support 37.78, therefore will oil markets will continue short. Ideally, during the course of this week, Oil is expected to trade in the lower ranges, with ultimate targets at 38.99, and the next target at 37.84.
Remain short with targets at 38.99, and the next target at 37.84