Technical Checks For Gold, Silver & WTI Crude: 21.04.2017

GOLD

In spite of the Gold’s $1270 TL breakout propelled it towards five-month high, the yellow-metal failed to surpass another downward slanting trend-line, at $1291 now, and witnessed pullback during its consequent trading sessions. At present the bullion prices are struggling between $1271 and $1291 ahead of the French election which is likely to provide noticeable market moves. However, overbought RSI is indicating more of the downside than the otherwise and hence a dip below $1271 can quickly fetch the quote towards $1260-61 horizontal-line, breaking which 200-day SMA level, around $1255, gains importance. In case of the precious-metal’s further south-run below $1255, the 50-day SMA level of $1243, followed by $1235-33 region, may grab sellers’ attention. On the contrary, a clear break of $1291 trend-line could accelerate the metal’s north-run towards $1302, $1308 and $1311 consecutive resistances. Given the safe-haven successfully trades beyond $1311, it becomes capable enough to target $1330 and the $1338 numbers towards north.

SILVER

Unlike Gold, which is trading in a range and signals decline, Silver is currently testing 50-day SMA support level of $17.90, which triggered its bounce-off during early-month, and indicates a U-turn towards $18.10 & $18.30 resistances. Should the white-metal clears $18.30 mark, it can aim for $18.30 & $18.65 before pushing buyers to look for $19.00 round-figure. Though, the bullion’s additional up-moves above $19.00 could be confined by resistance-line of a four-month old ascending trend-channel, at $19.20 now. Meanwhile, a daily closing below $17.90 could further strengthen the bearish bias and can fetch prices to $17.70 & $17.55 but the $17.35-30 support-confluence, including 100-day SMA & channel’s lower-line, is more likely to disappoint sellers. In case if the industrial-input drops below $17.30, the $17.00 and $16.80 are expected following supports that it can avail.

WTI CRUDE OIL

Crude is currently struggling in the $50 – $51.00 range with oversold RSI pointing towards its bounce to $51.50-55 on the upside break. If the fuel rises beyond $51.55, the $52.00 – $52.10 horizontal-line may try to limit its following up-moves, clearing which it becomes wise to expect $52.50 & $52.80 to appear on the chart prior to targeting $53.15-20 resistance-zone. Alternatively, a dip below $50.00 psychological magnet may fetch the quote to $49.50-45 line-support and then to $49.00. In course of the Crude’s extended downturn below $49.00, the $48.70 and $48.40 can please short-term traders before pleasing the Bears with $47.85.

Cheers and Safe Trading,
Anil Panchal