Market Analysis of Gold on Thursday 8 July 2021
On Wednesday, gold was fluctuating and had no upward strength, and gradually dropped below $1800. Gold had little impact on the minutes of the June Federal Open Market Committee (FOMC) meeting. The meeting minutes released by the Federal Reserve does not provide any new insight into the timing of the reduction in debt purchases, but does suggest that some policymakers believe that following the release of the latest data, uncertainty over the economic outlook has increased. From a technical perspective, the daily candle closed bullish for 6 days in a row, and the price of gold continues to fluctuate near the middle Bollinger bands. The 4 hours chart shows every time gold undergo correction, there is support from the middle BOLL band. There are signs the market will rebound and be bullish. As long as the upwards channel has not been broken, every correction is an opportunity to trade. Overall prioritize Buy at low price within the fluctuation zone. Consider the support zone and resistance zone, the deciding point whether to buy or sell is near 1790
Resistance：1808-1815-1822
Support：1795-1790-1782
Market Analysis of Crude Oil on Thursday 8 July 2021
In the Asian session on Thursday, US crude oil fluctuates around $71.20 / barrel, the price fell by more than 1.68% on Wednesday. The market is worried that the breakdown of the OPEC+ alliance formed by the Organization of Petroleum Exporting Countries (OPEC) and its allies this week might mean the supply will increase instead of decrease. OPEC+ still maintains a production cut of nearly 6 million barrels per day, but the alliance’s three-day meeting failed to resolve the differences between Saudi Arabia and the UAE, while the U.S. Energy Information Administration (EIA) has significantly raised its international oil price expectation for this year and next year.
From a technical point of view, the daily candle continued to form bearish candle, and the bearish sentiment in the market is strong. MA forms the death cross on a high position. H4 graph shows the formation of ladder bottom, and all indicators are bearish. Overall, prioritise Sell on high on the fluctuation zone. The deciding point whether to buy or sell is near 70.60.
Resistance：71.80-72.40-73.00
Support：70.60-70.00-69.50
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