Gold markets fell during the session on yesterday, breaking through the $1150 region. We think that the support still exists at the $1140 level, and as a result we need to get below there in order to start selling. We recognize a supportive candle in that region as a nice buying opportunity, but also recognize that if we break through there, the gold markets could fall apart. These are very important sessions over the next week or so. In the gold markets, and as a result we are going to wait until the end of the day each day to think about making a trading decision. Right now, we are on the sidelines.
Silver markets broke below the 15.50 level during the session on yesterday, as we begin to dig into significant support. The 15.00 level below is massively supportive, and if we can get below there, we feel that this market will fall apart at that point. In between here and there, if we get some type of supportive candle, it could end up being a nice buying opportunity for the short-term. We will have to see what happens next, but we recognize that there is a severe danger of silver collapsing at this point.
The light sweet crude market fell during the session on yesterday, breaking below the $48 level. This is an area that has been very supportive recently, so we believe that it’s only a matter of time before this market breaks down. Once we see that, we believe that the market would then go to the $45 level, it also has been supported.
Any rally at this point of time is going to run into quite a bit of resistance above, and with that, we would not hesitate to sell resistive candles. We believe that there is massive resistance all the way to the $55 level, so there’s no way for us to start buying this market. We believe that the light sweet crude market is going to continue to look soft.
COMEX Technical Analysis Outlook 12 MarchPosted: March 12, 2015 in Commodity Tips