Gold, Silver, Oil Weekly Analysis
Gold Weekly Review:
During the previous week ending 29th April 2016, Instead of going short as previously forecasted, Gold markets traded long and even broke above the upper resistive trendline. Following this breakout, we wait for downward retracements towards the just broken level for price to continue to the upperside. Sell positions are only idea if the retrecement ends up closing below the just broken trend line. During this week, key resistance levels are seen at $1338..58, 1.1376 and 1437. while key support level are seen at $1225.90,$1201.33, 1178.12 and 1146.77. Gold should be traded alongside silver. These two commodities have a strong positive correlation of up to +0.89 and will likely have a similar price action during this week. Ideally, Gold is dragging the other commodity, it leads Silver.
If you are not long already , wait for minor pullbacks to the just broken trend line to go long with targets at $1338..58, $1.1376 and $1437.Only sell the commodity if the anticipated pullback goes below the just broken trendline.
Silver Weekly Review:
During the previous week ending 29th April 2016, Silver markets broke above the descending resistive trendline, and is still petty much bullish. Following this breakout, we are very Reluctant to go short, instead, we expect an acceleration to the upper side during this week. Ideally, we expect a rally to the upper side for wave (4) to end along the next descending trend line. Although we expect more bullish thrash, we wait for minor downward retracement towards $17.45 to give us a low risk buy opportunities. During this week,. key levels are seen at $18.98, $17.50, $15.56, and $13.77, Silver should be traded alongside Gold, These two commodities have a strong positive correlation and will have a similar price action during this week.
During this week, Wait for minor retracement towards $17.50 to go long with your ultimate target at $18.98. This view can only be invalidated if the anticipated downward rally ends up closing below $17.13. If the latter is the case, then look for short positions with an ultimate target at $13.77
Oil Weekly Review:
For the past two months, Oil traded perfect long after forming a double bottom at $27.24. During the previous week, crude oil traded long and is currently finding it hard to close above a key daily Resistance level $46.42. We expect the level $46.42 to mark the end of wave (3), and the beginning of wave (4) towards the lower side. Thus, We sit on the side lines and wait for a clear rebound signal from this level to go short with wave (4). Only a clear breakout above the level $46.42 will invalidate this view.
Wait for a clear rebound from $46.05-$46.42 to go short with your target at the ascending supportive trendline. A clear breakout below this target will push the price further to the lower side. Only buy if the price ends up closing above the zone $46.05-$46.42. The long position should have target at $49.68.