Gold, Silver Approach Key Buy Zones – How to Trade the Potential Bounce
2024.08.22 05:53
Gold
() has a potential new leg higher in the longer-term 20-year bull trend just starting.
However, yesterday we traded sideways and closed unchanged as we consolidated after recent gains.
We made a low for the day exactly at the buying opportunity at 2494/91.
The same levels apply for today and again, holding above 2509/05 (a low for the day morning here yesterday) allows a recovery to 2525/28.
On a break above 2533 look for 2539/43, perhaps as far as 2554/56.
We could eventually reach 2565 and 2578/82. Even 2599/2602 is possible.
A buying opportunity again at 2494/91. Longs need stops below 2485.
Silver
() break above 2920 was another buy signal for this week targeting 2940/45 and 2970/75
My first buy level is at 2920/2900 again and yesterday we made a low for the day at 2920 – again longs need stops below 2875.
Targets: 2940, 2960, 2980
A break above 3000 is a buy signal targeting 3035 and 3060.
WTI Crude October Futures
Last session low and high for the October contract: 7146 – 7416.
remains caught in a longer-term sideways channel, around 2 years old with moving averages flatlining and converging for 6 months.
For the last 11 months, WTI Crude has been consolidating in a narrowing triangle pattern as the monthly ranges decrease.
WTI Crude made a high for the day at 7416, just 16 ticks above the sell level and hit the 7170/40 target for a potential 200 ticks profit
Once again holding first resistance at 7360/7400 can target 7220/7200, perhaps as far as 7170/40. Further losses today retest the August low at 7100/7088.
A break below 7075 is a sell signal targeting 6990/6970 and 6910/6890.
Even as far as the December 2023 low at 6800/6770 is possible eventually.
Bulls need a push higher through 7490 to target resistance at 7560/90 and shorts need stops above 7640.
