|Day's range||1,178.50 - 1,186.80|
Investing.com – Gold prices traded slightly higher on Friday while the U.S. dollar dropped after White House economic advisor Larry Kudlow confirmed that Chinese and U.S. officials will meet later in August to resume trade talks.
Investing.com - Metal prices rebounded Thursday from a rout a day earlier as a subdued dollar and expectations for renewed U.S.-China trade talks supported sentiment, helping gold prices steady.
Investing.com - Oil prices traded slightly higher on Thursday, breaking a three-day losing streak, as hopes the U.S. and China could reconcile recent trade tensions eased worries over the impact on the global economy.
Today’s U.S. Energy Information Administration’s (EIA) weekly storage report is expected to show a 30 Bcf build for the week-ended August 10.
Although there are still lingering concerns over supply due to the sanctions against Iran, the possibility of lower demand due to a global economic slowdown caused by trade disputes, rising interest rates and collapsing emerging markets is the story at this time.
Short-term, a weaker U.S. Dollar and cheap prices could bring speculative buyers back into gold. The daily chart indicates that if the upside momentum continues, $1205.90 to $1215.10 is a reasonable target zone. Since the trend is down, sellers are likely to show up on a test of this zone.
Investing.com – Oil prices were mixed on Thursday as data from the Energy Informational Administration (EIA) showed the U.S. crude inventory level unexpectedly hiked by 6.8 million barrels in the week ending Aug 10. Analysts previously forecasted stockpiles would fall by 2.5 million barrels.
Investing.com - Gold prices dropped on Thursday while the U.S. dollar also slid despite higher demand in safe-haven assets amidst the Turkish lira crisis.
The main driving force today in the market will be investor aversion to risk. Risk-on, and the Aussie and Kiwi benefit. Risk-off, and they both resume this week’s downtrend.
Based on the current price at $1184.50, the direction of the December Comex Gold market into the close is likely to be determined by trader reaction to the former bottom at $1184.00. Now that we’ve tested $1184.00, volatility is expected to pick up since there is plenty of room in both directions with $1210.70 a potential upside target and $1166.60 the next downside target.
Investing.com - U.S. crude prices plunged further on Wednesday, hitting an eight-week low after data showed that U.S. oil stockpiles rose unexpectedly last week.
The direction of the September E-mini NASDAQ-100 Index today is likely to be determined by trader reaction to a downtrending Gann angle at 7410.00. It’s all about momentum today and how investors react to the 50% support cluster at 7348.25 and 7336.00. If this area fails then we could start to see the selling pressure pick up steam.
The EUR/USD dipped way below M L5 Pivot ( Strongest Monthly Support) and currently it is below the Weekly L3 pivot. This indicates a strong downtrend with a potential for further bearish pressure. Only a close above 1.1350 might initiate a bullish correction towards POC (1.1420-30) and POC 2 (1.1470-1.1508). However further weakness is likely as the price should reject from any of POC zones. Additionally a break below 1.1316 targets 1.1279, Weekly Support level. This breakout could happen even before any retracement to POC zones.
Usually, equity and commodity prices share a positive correlation. However, gold (GLD) is an obvious exception. The correlation between equities and commodities isn’t hard to explain. Commodities, like equities, tend to do well when demand is strong during periods of high economic growth. Commodities are weak in risk-off environments. Equity markets also fall during such periods.
Gold’s price hits new 2018 lows as the US dollar continues to strengthen. Investors shift their funds to the American currency after the political turmoil in Turkey and other emerging markets.
Gold could be helped if the Euro can turn around. The single-currency is weighted at about 57% of the Dollar Index. A steep recovery by the Euro could reverse the dollar lower. This would likely trigger a short-covering rally in gold. However, sellers would likely prevent gold from changing its trend to up.
U.S. and Brent crude are under pressure early Thursday as investors continue to react to the bearish API data, talk of lower demand and the strengthening U.S. Dollar. Losses are being limited on light volume ahead of today’s U.S. Energy Information Administration’s weekly inventories report at 1430 GMT, which is expected to show a 2.8 million barrel draw. The outcome of this report is likely to set the tone the rest of the session.
The nearest downside target is the January 3, 2017 main bottom at $1184.00. Unless the news suddenly changes, momentum should take the gold market into this level. We could start to see short-covering and profit-taking on a test of this level. Counter-trend buyers may come in to defend this level because the next downside target is the December 22, 2016 main bottom at $1166.60. This is followed closely by the December 16, 2016 main bottom at $1162.00.
Crude oil markets have rallied rather significantly during trading on Tuesday, breaking towards fresh, new highs. However, the market still has historical supply and resistance above to cause issues, so I don’t think it’s going to be the easiest of moves to continue to rally.
Gold markets bounced slightly during the trading session on Tuesday, and perhaps a bit of profit taking. The US dollar took a bit of a reprieve as well, as the Turkish lira recovered. At this point though, we have broken through a major level of support, so we could see further weakness.
The British pound was very noisy during the Tuesday session, initially spiking towards the ¥142.50 level, but then pulling back. At this point, keep in mind that this pair is highly sensitive to risk appetite, so it makes sense that “The Dragon” will continue to be very noisy.
The Australian dollar continues to look soft overall, as we have a light of moving pieces out there that can affect global trade. By global trade, you should think China, and that of course is with the Australian dollar is so highly leveraged to, the Chinese economy.
Based on the early price action, the direction of the USD/JPY is likely to be determined by trader reaction to the 50% level at 111.126.
Investing.com - WTI crude oil prices reversed gains to settle lower Tuesday, shrugging off signs of waning demand for Iran crude as U.S. sanctions loom.