World commodity update for 20/03/2009

Crude has reached above it's projected target at 52.45 with 20 pips whereas it declined 200 pips correcting the aggressive upside action at 38.2% Fibonacci. We note that the range is tightening gradually forming a triangle pattern between 51.10 and 50.80 and a break of which will accelerate the coming action. Probably it will be a corrective move towards 49.85 which represents the support area of the minor inclining channel inside the initial one before resuming the upside action towards the main support at 52.55. Carefully note that the short term prediction is bearish as far as this level remains intact.

The trading range for today is among the key support at 47.10 and the key resistance at 54.30.

The general trend is to the downside as far as 52.40 remains intact with targets at 30.00 and 25.90

Support: 50.80, 50.15, 49.85, 49.10, 48.75
Resistance: 51.40, 51.80, 52.55, 52.90, 53.25

Recommendation: According to our analysis, we believe that it's good to sell the contract below 52.55 with targets at 50.95 and stop loss with a four hour close above 53.25

Gold is slowing down after it reached 962.00 areas which was our yesterday's analysis target and that's definitely expected as these resistance areas represent the decisive point before resuming the correctional wave (B) which is targeting 984.00 firstly followed by retesting the psychological levels of $1000.00 per ounce again. More incline is still in favor completing our suggested sequence as far as 916.00 remains intact in particular after the free move above Ichimoku spans. The trading range for today is among the key support now at 907.00 and key resistance now at 1000.00. The general trend is to the upside as far as 820.00 remains intact with targets at 1035.00 and 1060.00

Support: 952.00, 945.00, 935.00, 925.00, 916.00
Resistance: 963.00, 974.00, 988.00, 995.00, 1000.00

Recommendation: According to our analysis, we believe that it is good to attempt to buy gold at 952.00 with targets at 973.00 and stop loss at 935.00.