World commodity update for 27/03/2009

Oil has breached the initial resistance at 54.00 reaching 54.60 but Fibonacci expansion level of 100% pressured it and forced it to retrace below 54.00 forming a bearish pattern targeting 53.45 which represents 76.4% of yesterday's incline. But we still expect more upside actions after being supported around 53.45 targeting 55.45 as a first target followed by 57.00 which is the upper line of the suggested inclining channel. This is our expected scenario as far as 52.70 remains unbroken.

The trading range for today is among the key support at 49.35 and the key resistance at 57.60.

The general trend is changing to the upside as far as 52.70 remains intact with targets at 64.50.

Support: 53.45, 52.70, 51.95, 51.45, 51.10
Resistance: 54.00, 54.60, 55.45, 55.90, 56.70

Recommendation According to our analysis, we believe that it's good to buy the contract above 53.45 with targets at 54.60 followed by 55.45 and stop loss with a four hour close below 52.70.

Gold is still moving in the same tight range between 945.00 and 930.00 but actually it obtained a strong support around 930.00 (38.2%)Fibonacci of the whole decline started at 1006.00.Therefore we expect an upside action today as far as 907.00 remains unbroken based on the bullish pattern formed on the hourly chart as shown on the secondary image in addition to the overlapping attempt appearing on the stochastic inside the overbought areas while Gator and MACD traditional support our positive overview on 4 h chart.

The trading range for today is among the key support now at 900.00 and key resistance now at 984.00.

The general trend is to the upside as far as 820.00 remains intact with targets at 1035.00 and 1060.00.

Support: 930.00, 925.00, 916.00, 912.00, 907.00
Resistance: 935.00, 945.00, 952.00, 956.00, 963.00

Recommendation: According to our analysis, we believe that it is good to buy gold at 933.00 with targets at 955.00 and stop loss at 916.00.