According to margin zone analysis, the middle-term trends of oil and gold reversed
Last week, oil price broke through the key resistance of the middle-term down trend. It means that the oil middle-term trend reversed up.
On Monday, it is relevant to buy oil with a target in Target Zone 2 [71.14 – 70.80]. The strong support zones are at [67.69 – 67.35] and [65.74 – 65.40].
The local trend is upward. Gold Zone [69.24 – 69.07] was reached last Friday. So, the main buy scenario worked out.
The price should go higher if buyers break out GZ and consolidate above. In this case, the target will be TZ 2 [71.14 – 70.80]. Until then, the target is the local high.
Look for buys in the strong support zones, Additional Zone [68.33 – 68.24] and Intermediary Zone [67.47 – 67.30].
WTI trading tips for today:
- Buy according to the pattern in Additional Zone [68.33 – 68.24]. TakeProfit: Gold Zone [69.24 – 69.07]. StopLoss: according to the pattern rules.
- Buy according to the pattern in Intermediary Zone [67.47 – 67.30]. TakeProfit: Gold Zone [69.24 – 69.07]. StopLoss: according to the pattern rules.
Gold middle-term trend reversed upwards. There was a strong Target Zone [1194.3 – 1191.2] breakout and the session closed above the zone last Friday. Now, the target is Target Zone 2 [1225.3 – 1222.2].
Look for gold purchases on the retest of the broken out TZ and the trend key support [1177.5 – 1174.4].
Gold is trading up in the short-term.
Gold Zone [1208.2 – 1206.7] was reached last Friday, but buyers didn’t break it out. So, there can be local correction with a target to buy XAUUSD at good prices.
I recommend looking for buys either in Additional Zone [1200.8 – 1200.0] or in Intermediary Zone [1193.0 – 1191.5]. The latter is the uptrend border.
XAUUSD trading tips for today:
- Buy according to the pattern in Additional Zone [1200.8 – 1200.0]. TakeProfit: Gold Zone [1208.2 – 1206.7]. StopLoss: according to the pattern rules.
- Buy according to the pattern in Intermediary Zone [1193.0 – 1191.5]. TakeProfit: Gold Zone [1208.2 – 1206.7]. StopLoss: according to the pattern rules.
Silver price is only being corrected in the general middle-term downtrend. To reverse the trend, buyers need break out the key resistance at [15.08 – 15.00]. Until then, look for sell positions.
Let’s study the short-term trend, according to smaller margin zones.
In XAGUSD hourly chart, it is clear the price reached the local high of August 22, resulting from purchases in Intermediary Zone on Friday. Therefore, there is a false breakout pattern emerged (see the screenshot).
If the price is being corrected towards Additional Zone [14.65 – 14.63], I recommend you to switch to the shorter timeframes and for the buy entry point by means of patterns. The buy targets are last Friday’s high and Target Zone [15.08 – 15.00].
XAGUSD trading tips for today:
Buy according to the pattern in Additional Zone [14.65 – 14.63]. TakeProfit: 14.82, 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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