World commodity update for 17/03/2009
After the price moved steadily around the broken support yesterday, it inclined respecting our analysis to cover the previous explained gap at 46.00 followed by 47.60. Now we are facing the initial resistance at 47.85 and we expect that the price will continue to gather bullish momentum to breach it towards the short term target at 52.25 (the upper line of the ascending channel) without ignoring the possibility of some kind of corrections towards 46.25 and 45.45 before resuming the upside rally. This expected rally is in favor as far as 45.45 remains intact.
The trading range for today is among the key support at 39.70 and the key resistance at 52.25.
The general trend is to the downside as far as 52.00 remains intact with targets at 30.00 and 25.90
Support: 46.80, 46.25, 45.45, 44.95, 44.40
Resistance: 47.85, 48.25, 49.05, 49.65, 50.25
Recommendation: According to our analysis, we believe that it's good to buy the contract above 46.25 with targets at 47.85 and stop loss with a four hour close below 45.45.
Gold is trapped in a tight range between the Tenken and kijun (moving averages)as a result of struggling inside the Ichimoku spans trying to breach it but we still expect an aggressive upside move particularly if the price retests 930.00 again. This bullish prediction is based on indicators which are still suggesting further strength specially CCI and any pullbacks at the current price levels will be initially gathering enough momentum to continue the medium term Elliott cycle. This expected bullish scenario can be changed only if 892.00 zones are broken.
The trading range for today is among the key support now at 892.00 and key resistance now at 963.00 level.
The general trend is to the upside as far as 820.00 remains intact with targets at 1035.00 and 1060.00
Support: 916.00, 912.00, 907.00, 900.00, 892.00
Resistance: 925.00, 935.00, 945.00, 956.00, 963.00
Recommendation: According to our analysis, we believe that it is good to buy gold at 920.00 with targets at 940.00 and stop loss at 905.00.
No comments:
Post a Comment