Gold weekly review:
Earlier this month, instead of continuing long as previously forecasted, the gold markets pulled back slightly and could pull back even further. We expect this bearish rally to be a mere correction of the impulsive wave (c) and should not go beyond the end of the corrective wave (b), 1212.86, where we’ll be looking top rebuy the impulsive wave (c) at the least risk possible. The anticipated bullish price rally is the continuation of the impulsive wave (c) with an ideal target at 1196.94 but first, price should break above 1283.70 to confirm the continuation of this bullish price rally. 1212.86 is a key monthly support level and as long as it protects the lower side, we expect a possible rebound from it. A break below will invalidate the anticipated bearish price rally and could push the price towards 1061.93. Expect a similar wave account in Silver, these two commodities have a strong positive correlation of up to +71% and will move in the same direction.
Expect a possible bullish price rally towards 1196.94.
Brent Oil Weekly review:
After being confined within the rising wedge, Brent oil eventually broke above, retraced to it but could not penetrate below it. We expect a possible rebound from the upper trend line to long Brent towards the weekly resistance level 55.55. If this level is broken, then the price may continue upwards but should not go beyond 60. This move may only be rendered futile in case the price end up breaking below the lower trend line, if this should be the case, then an acceleration to the lower side is highly anticipated. This commodity should be traded alongside Canadian pairs, the price of oil affects most Canadian pairs and therefore correlational traders should observe these two closely.
Expect a possible bullish price rally towards 55.55.
SPX500 Weekly Review
For almost half a decade now, Standard Poor’s 500 index has rose relentlessly and is not showing any signs of declining any time soon. This week, we expect a possible bullish extension of both the impulsive waves (v) and (5) with an ideal target at 2600.85. This is from a bullish perspective, if the price can pullback below 2419.0, then we expect further bearish accelaration towards 2325.0. The previous week’s candle is a perfect indecision candle and signals uncertainty, but based on the previous rallies, this index is likely to rise even further upwards. This index should be traded alongside other indices.
Expect a possible bullish price rally towards 55.55