World commodity update for 07/04/2009

Oil declined sharply yesterday breaching the previous mentioned support zones and the correctional level at 52.25 couldn't support it then the lower line of the upward channel was breached _currently-located at 51.35 as we notice that 61.8% Fibonacci level at 49.80 has stopped the downside actions that argue us to say that the short time upward is still in favor , all just we need is a breakout of 51.35 combined with a four hour close above it to guarantee the continuation of the upside direction targeting 53.60 as a preparation for targeting 59.40(the upper line of the mentioned channel) as far as 48.70 remains unbroken.

The trading range for today is among the key support at 47.20 and the key resistance at 59.40.

The general trend is to the upside as far as 47.80 remains intact with targets at 64.50.

Support: 50.40, 49.80, 48.70, 47.85, 47.20
Resistance: 51.35, 52.10, 52.95, 53.60, 54.00

Recommendation: According to our analysis, we believe that it's good to buy the contract above 51.35 with targets at 52.95 and stop loss with a four hour close below 49.80.

Gold

According to what we discussed yesterday, gold has respected the strong support zone around 863.00 whereas it started to incline again forming an engulfing bullish candlestick formation above the mentioned pivotal support confirming our prediction that the upward recovery is under preparation to correct the bearish wave started at 967.00 particularly if it made a successful breakout above 881.00 (38.2%) Fibonacci of the entire medium term rally started at 679.00 and topped out at 1006.00. William% R, CCI and stochastic are supporting our bullish overview on the intraday basis.

The trading range for today is among the key support now at 845.00 and key resistance now at 925.00.

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

Support: 870.00, 863.00, 855.00, 845.00, 832.00
Resistance: 884.00, 895.00, 902.00, 907.00, 916.00

Recommendation: According to our analysis, we believe that it is good to buy gold at 876.00 with targets at 895.00 and stop loss at 860.00.