Gold Price Remains At Risk, Oil Price Extends Rally

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Gold price failed to clear the $1,800 resistance zone and started a fresh decline. Crude oil price is rising and it is showing a lot of positive signs above $64.50.

Important Takeaways for Gold and Oil

  • Gold price failed to clear the $1,790 and $1,800 resistance levels against the US Dollar.
  • There is a key bearish trend line forming with resistance near $1,788 on the hourly chart of gold.
  • Crude oil price climbed higher nicely and it even broke the $65.00 resistance zone.
  • There is a crucial bullish trend line forming with support near $64.30 on the hourly chart of XTI/USD.

Gold Price Technical Analysis

Earlier this week, gold price climbed higher above the $1,780 resistance against the US Dollar. However, it failed to clear the $1,790 and $1,800 resistance levels.

A high was formed near $1,789 on FXOpen before the price started a fresh decline. There was a break below the $1,780 and $1,765 support levels. The price even settled below the $1,780 level and the 50 hourly simple moving average.

Gold Price Technical Analysis

A low was formed near $1,756 before the price recovered. It climbed above the $1,765 level. There was a break above the 23.6% Fib retracement level of the recent decline from the $1,789 high to $1,756 low.

However, the price failed to clear the $1,780 resistance and the 50 hourly simple moving average. It also struggled near the 50% Fib retracement level of the recent decline from the $1,789 high to $1,756 low.

Moreover, there is a key bearish trend line forming with resistance near $1,788 on the hourly chart of gold. The price must clear the $1,780 resistance and the trend line to start a strong increase in the coming sessions.

If not, there is a risk of another decline below the $1,760 level. The first key support is near the $1,755 and $1,750 levels. Any more losses might call for a test of the $1,720 support.

Oil Price Technical Analysis

Crude oil price remained well supported above the $60.00 zone against the US Dollar. As a result, the price started a fresh increase above the $62.00 resistance zone.

The price was able to surge above the $63.50 and $64.00 levels. There was also a break above the $64.50 resistance and the 50 hourly simple moving average. A high is formed near $65.36 and the price is now consolidating gains.

Oil Price Technical Analysis

It is trading near the $64.60 level. An initial support is near the $64.30 level. It is near the 23.6% Fib retracement level of the recent wave from the $60.60 low to $65.36 high.

There is also a crucial bullish trend line forming with support near $64.30 on the hourly chart of XTI/USD. If there is a downside break below the trend line support, the price could decline towards the $63.00 support.

The 50% Fib retracement level of the recent wave from the $60.60 low to $65.36 high is also near the $62.98 level to provide support. Any more losses could set the pace for a drop towards the $62.50 level.

On the upside, the price is facing resistance near the $65.50 level. If there is an upside break above $65.50, the price could rally towards the $66.50 and $68.00 levels. The next major resistance is near the $70.00 level.

This forecast represents FXOpen Markets Limited opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Markets Limited products and services or as financial advice.

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