As previously forecasted, the yellow metal traded massively long and is still pretty much bullish both on the daily charts and the weekly charts. thus, during this week, as long as the commodity remains above 1249.70, we expect a possible bullish wave count towards 1254.06 or even higher. The anticipated upward rally should be the continuation of the impulsive wave (3) and should be extensive in nature. In the meantime, we're waiting for minor retracements to the lower side to give us low risk buy opportunities with our previous target still intact at 1249. This commodity should be traded alongside Silver; these two commodities have a strong positive correlation of up to +87% and will have a similar price action during this trading week. Only buy or sell gold if silver is giving the same signal.
Expect a possible bullish price movements towards 1249 or even higher.
Since December 23rd 2016, silver markets have been in a steady upward trend and is still pretty much bullish both on the daily charts and the weekly charts. As anticipated on the previous week's forecast, silver rose incessantly to the upper side but is yet to hit our weekly target at 19.71. During this week, we expect further bullish wave count towards this target or even higher. However, in the meantime, instead of going long immediately, we choose to sit on the sidelines and only buy silver upon a clear pullback towards 17.39. The anticipated upward rally should be the continuation of the impulsive wave (3) and should be extensive in nature. This view can only be rendered futile in case the commodity end up below 12.39, if this is the case, then an acceleration to the lower side is inevitable. This commodity should be traded alongside gold, These two commodities have a strong positive correlation of up to +78% and will have a similar price action during this week. Ideally, gold drags silver along with it.
Expect a possible bullish price movements towards 19.71 or even higher but should not go beyond 20.33.
Crude oil weekly review
As previously forecasted, crude oil traded on the higher ranges but still count find enough strength to break above the resistance level 57.35.This is a key daily resistance level and will require a great force to break above, thus, unless this level is broken with a big candle, we choose to remain flat momentarily and wait for a clear reversal signal from this level to go short with an ideal target at 54.01. A break above 57.35, will culminate into a possible bullish wave count towards 67.36. A break above this level will push the price further to the the upper side but should not go beyond 112.33. This commodity should be traded alongside Canadian pairs, the price of oil affects significantly most Canadian pairs.
Unless there's a clear a clear break above 57.35, remain flat momentarily and wait for a clear sell signals below 57.35.Buy positions are only recommended above 59.04