Oil price is being corrected, but the downtrend continues. Metal trends reversed upwards

WTI

Oil is trading down in the middle-term on Monday. Target Zone 3 [63.80 – 63.46] was reached, the price is being corrected now. The key resistance is at [67.69 – 67.35].

The short-term trend is also downward. The price was being corrected towards the key resistance IZ [65.79 – 65.62] on Friday. The price is down from the zone, but there hasn’t been a sell signal yet, according to technical analysis.

According to technical analysis, there is an opportunity to look for buy trades with the target to renew Friday’s high. You can look for purchases in Additional Zone [64.86 – 64.78].

To sell in the trend, expect a pattern; the closer it is to IZ, the better. Sell target will be August’s low.

WTI trading tips for today:

  1. Buy in Additional Zone [64.86 – 64.78]. TakeProfit: 65.70. StopLoss: 64.42.
  2. Sell according to the pattern in Intermediary Zone [65.79 – 65.62]. TakeProfit: Gold Zone [63.98 – 63.80]. StopLoss: according to the pattern rules.

XAUUSD

Gold sellers couldn’t break through Target Zone 6 [1179.2 – 1176.1] last week. Now, gold price is being corrected with a possible target in Target Zone [1194.3 – 1191.2]. After the zone is reached, look for sales according to the pattern.

The short-term trend has reversed upwards. Intermediary Zone [1177.2 – 1175.7] was broken through on Friday. Now, the buy target is Target Zone [1194.3 – 1191.2].

I recommend buying gold on the correction towards the strong support, Additional Zone [1178.9 – 1178.1] and Intermediary Zone [1171.1 – 1169.6]. To buy, we need a pattern.

 

XAUUSD trading tips for today:

  1. Buy according to the pattern in Additional Zone [1178.9 – 1178.1]. TakeProfit: 1186.3, Target Zone [1194.3 – 1192]. StopLoss: according to the pattern rules.
  2. Buy according to the pattern in Intermediary Zone [1171.1 – 1169.6]. TakeProfit: 1186.3, Target Zone [1194.3 – 1191.2]. StopLoss: according to the pattern rules.

 


XAGUSD

Silver price is being corrected too. The correction target is Target Zone [15.08 – 15.00]. After the zone is reached, look for new sales further in the trend.

The local trend reversed upwards on Friday. The junior margin zones prove it. Intermediary Zone [14.68 – 14.64] was broken out, and so, the target is now Target Zone [15.08 – 15.00].

I recommend buying on the correction. Good buy prices are in Intermediary Zone, the key support, bordered by [14.42 – 14.38]. The second way is to wait until the high of last Thursday is renewed and to build the support zones from the new high. Look for buys in the zones.

 

XAGUSD trading tips for today:

Buy according to the pattern in Intermediary Zone [14.42 – 14.38]. TakeProfit: Target Zone [15.08 – 15.00]. 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 20.08.2018

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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