For metals, we see profit-taking for sells at the end of the week, which results in the price correction

WTI

Oil finishes the trading week with the middle-term key resistance test. As long as sellers are holding the zone, I recommend looking for sells with the target to renew the local low and reach Target Zone 4 [62.84 – 62.59].

In the shorter timeframe, things are rather unusual.

The key support [65.00 – 64.87] was held, despite the strong breakout a little earlier. Next, the high was renewed and Target Zone [66.17 – 65.92] was retested.

The price hasn’t been closed above TZ, the strong support, so there can be a correction. If the price is being corrected, look for buys in Additional Zone [65.79 – 65.72] or in Intermediary Zone [65.15 – 65.02]. The target will be the current low and Gold Zone [67.32 – 67.20].

Selling WTI will be relevant, if the US session closes below level 65.02. If so, the lower Target Zone [63.87 – 63.62] will be reached, and we shall sell.

Today's trading tips for WTI:

  1. Buy according to the pattern in Additional Zone [65.79 – 65.72]. TakeProfit: 66.37, Gold Zone [67.32 – 67.20]. StopLoss: according to the pattern rules.
  2. Buy according to the pattern in Intermediary Zone [65.15 – 65.02]. TakeProfit: 66.37, Gold Zone [67.32 – 67.20]. StopLoss: according to the pattern rules.

XAUUSD

Gold price broke out Target Zone 3 [1272.2 – 1269.1] and the US session closed below it yesterday. To prove the support breakout, we need that the price is closed below level 1269.1 today or at the beginning of next week.

Otherwise, the price correction will start.

The short-term trend is still downward. Gold Zone [1262.8 – 1261.2] was reached yesterday, but it wasn’t broken through. It was followed by the upward correction, and Additional Zone [1269.9 – 1269.1] was tested at the end of the US trading session.

For today, I recommend looking for more sells in the trend in the strong support zones, AZ and Intermediary Zone [1278.4 – 1276.8]. To look for entry points, you can use the reversal pattern in the shorter timeframes.

The trend will reverse if IZ is broken out with consolidation above. If so, we will look for purchases up to the upper Target Zone [1295.4 – 1292.3].

Today's trading tips for XAUUSD:

  1. Sell according to the pattern in Additional Zone [1269.9 – 1269.1]. TakeProfit: Gold Zone [1262.8 – 1262]. StopLoss: according to the pattern rules.
  2. Sell according to the pattern in Intermediary Zone [1278.4 – 1276.8]. TakeProfit: Gold Zone [1268 – 1261.2]. StopLoss: according to the pattern rules.

 


XAGUSD

Silver price is being consolidated below the zone of according to the pattern rules. Therefore, the instrument is trading down, and the target is Target Zone 2 [15.83 – 15.75].

In the shorter timeframe, we see the strong support Gold Zone [16.19 – 16.15] that prevents the price from a deeper dive.

However, the trend is still downward, so, look for sells in the strong support zones, Additional Zone [16.34 – 16.32] and Intermediary Zone [16.54 – 16.50]. The target is the local low.

Alternative scenario: buying silver up to the upper Target Zone [16.94 – 16.87], after the key resistance is broken out with consolidation above.

Today's trading tips for XAGUSD:

  1. Sell according to the pattern in Additional Zone [16.34 – 16.32]. TakeProfit: Gold Zone [16.18 – 16.15]. StopLoss: according to the pattern rules.
  2. Sell according to the pattern in Intermediary Zone [16.54 – 16.50]. TakeProfit: Gold Zone [16.18 – 16.15]. StopLoss: according to the pattern rules.
IZ - Intermediary Zone: responsible for the price momentum reversing.
TZ - Target Zone: a zone that is 75% likely to be reached after IZ breakout.
GZ - Gold Zone: zone in the medium-term momentum.
All zones are calculated based on the average daily price of the instrument and margin requirements of the futures.

 


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Analysis for oil, gold and silver for 22.06.2018

The content of this article reflects the author’s opinion and does not necessarily reflect the official position of LiteForex. The material published on this page is provided for informational purposes only and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC.

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