Gold and Crude Oil, the Points of discussion:
- The price of gold edged back, despite a far-from-optimistic, the market in the background
- US-China relations deteriorated further with the President, He had openly blame his Chinese counterpart
- Brent Crude oil prices rose once more that the united states stocks have been pulled down,
The price of gold failed to keep the gains, with which they began the session.
The backdrop looks are of course in favour, with the prospect of near-term economic weakness around the world, which have led to the stimulus, and the nature of the monetary policy of the largesse that tends to support the price of gold.
There were signs that risk aversion has been taken, too. The President of the united states, when He pointed to his Chinese counterpart, Xi Jinping, accusing him, via Twitter or a direct responsibility (csr) for the anti-AMERICAN propaganda. U.S. stock futures slipped a little after, but the training effect of the gold has been limited, and the region of Asia-Pacific equity fund had a mixed last session.
The rest of the day, offers plenty of interesting economic data points. Purchasing Managers Indexes from Europe and the united states, give investors an instant start of the activity. Unfortunately, the pictures are unlikely to be reassuring, with most expected to be well short of the key 50 points level that separates expansion from contraction.
|
The Change in the |
Long |
Shorts |
BEAUTIFUL |
| Daily | -6% | 4% | By 4% |
| It | 1% | 11% | 4% |
The price of oil has increased again, the market has reacted to the case, a fall in US stocks. Stocks of crude oil dropped by five million barrels last week, according to the Energy Information Administration, when the market expected a one million barrel increase.
However, storage facilities are still very well used and, although there are clear signs that the falls in production are the restraint of supply, the demand remains the great question, thank you for the various sectors of stops is still in force or is taken place progressively.
|
The Change in the |
Long |
Shorts |
BEAUTIFUL |
| Daily | -3% | -7% | -5% |
| It | 6% | -20% | -6% |
Gold Price Technical Analysis
The price of gold to remain well inside of their daily chart the uptrend and have just made a new all-time high in it. However, a range of resistance from the late 2012 and it is still standing, between the gold is there, and the market of all the peaks of earlier this year.
Until now, the market has only managed a single shot, a quick intraday foray in this range with very little follow-up. If the prices have not pushed into that range by the end of the month, and then a correction lower could well be suspended, perhaps even for the psychological testing support at $1,700 an ounce.
However, there seems little fundamental reason why gold prices should go back now, and an eventual move into the resistance zone, and, very probably, from the above, it seems more and more likely.
The Crude Oil Price Technical Analysis
US crude oil prices remain above the steep upward trend line in place since the end of April and have spent in their own end zone, formed by the levels of trading seen on the way down, between February 8 and 16. In addition to this, the key is $40/barrel level, invite. That has not been seen for over two months. However, given the clear question marks hanging over Covid-hit-demand fundamentals, it may be probable that the market-will-have-to-see-a-time, during the consolidation, before taking on the $40.
Commodity Trading Resources
— Written by David Cottle, Search DailyFX
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