ADVERTISEMENT



Gold, WTI Crude oil and EURUSD - Intra week technical outlook, 02/01/19

Gold prices maintain bullish momentum

Gold 020119

Gold prices are seen to be maintaining the bullish upside pressure as price action lifts off from the 1280 handle after a brief spell of consolidation. While the downside corrective target at 1250 remains a key level of interest, we expect the momentum to briefly keep gold supported above the 1280 handle.

The longer term gold target is toward the 1300 handle. However, failure to establish support around the 1280 region could keep price action a bit risky.

Watch for how gold prices behave around the 1280 level. Failure to establish support here could potentially shift the bias in gold to the downside. We continue to wait for price action in gold to evolve around the current levels for further action.

Watch for crude oil forming a potential bottom

WTI 020119

Crude oil prices managed to lift off the 42.50 lower support only to establish resistance near the 46.00 handle. Price action has been inching lower ever since. As long as the floor at 46.00 holds, WTI crude oil could see some upside in the price action.

The overall trend in oil prices remains to the downside. However, watch for a higher low to be formed between the current levels of 42.50 and 46.00. Subsequently, a breakout above 46.00 could push WTI crude oil prices to eventually target the 50.00 level. Establishing resistance here could still keep the trend to the downside.

Alternately, the current resistance at 46.00 could push oil prices to test the 42.50 handle. A break down below this level could see the bearish momentum keeping the bias to the downside as a result.

EURUSD still trading flat

EURUSD 020119

The common currency continues to trade flat on the 4-hour chart time frame. The resistance level at 1.1450 has been tested as resulted in a minor double top pattern. If the lows at 1.1430 is breached, then the EURUSD could be potentially pushing lower. The Ichimoku cloud is however likely to act as resistance and could keep prices supported briefly.

In the medium term, the EURUSD is seen chalking out an ascending triangle pattern. This indicates that a successful breakout above 1.1450 could push the common currency to test at least 1.1600 handle in the medium term. For the moment, the common currency could be seen maintaining the flat trend between the current levels mentioned.

Read 504 times

ADVERTISEMENT

ADVERTISEMENT

ADVERTISEMENT

ADVERTISEMENT

ADVERTISEMENT

Newsletter Subscription Form

You are more than welcome to subscribe to our Newsletter and be among the first who get to hear about regular updates on forex and other related news, brokers' updates, websites' changes and more!
I agree with the Terms and conditions and the Privacy policy
Thank you!