Gold Technical Analysis
The gold markets continued their bullish tone on Wednesday, breaking above the last little bit of resistance as it looks set to recapture the highs set a few weeks ago. The trend is still up, and as we stated yesterday – it looks bullish. The market shot up to as high as $12+ gained, and looks to continue with the high volume that it saw during the session.
Natural Gas Technical Analysis
The natural gas markets fell slightly on Wednesday, which isn’t overly surprising as it is approaching the upper end of the recent range between $4.75 and $4 for the contract. The market has a lot of supply available, so it is going to be hard to imagine a break out of these levels. In fact, it is rather common for oil projects in the US to simply burn off the natural gas that tends to come with oil fields – it is that abundant. Because of that, we prefer the range bound play for the time being. Look to short on a lower move from here.
Oil Technical Analysis
Light Sweet Crude
The CL pulled back during the Wednesday session, falling back to the $100 support level. In a session that saw a lot of destruction across several markets, this is actually a sign of solid support as it has held. The market still looks bullish because of this, and could be bought. Until we break below $92.50 – we don’t sell.
Brent
The Brent contract traded in an almost identical fashion as the CL on Wednesday, pulling back to the massive $115 support area, and holding. Just as the CL looks bullish, so does this contract. Until we break below $105, we aren’t selling at all.
