Market Analysis of Gold on Tuesday 13 July 2021
On Monday, due to the appreciation of the US dollar and the strengthening of the US stock market to historical highs, the price of gold fell, and there was a struggle for bulls and bears around 1800. Global inflation and financial risks increased. The epidemic in Southeast Asia is in a state of emergency. The United States has just confirmed more than 20,000 cases in one day. The global number of confirmed cases has risen for the fourth week in a row. US officials say that now is not the time to ease monetary policy, nor does inflationary policy mean they will accelerate interest rate hikes. This news has a bad effect on the US dollar and a good one for gold. From a technical perspective, gold’s daily candle is sideways. We consider that the formation of successive Doji patterns not a reversal signal, but a bullish signal. The 4-hour chart shows that gold is back at the middle BOLL band, the candlestick form bullish engulfing pattern. Overall, prioritize Buy at low prices within the fluctuation zone. Consider the support zone and resistance zone, the deciding point whether to buy or sell is near 1805.
Resistance：1818-1825-1835
Support：1805-1798-1790
Market Analysis of Oil on Tuesday, July 13, 2021
On Thursday Asia Session, crude oil fluctuates around 73.60. The oil price fell on Monday due to concerns that the spread of the variant virus would disrupt the global economic recovery. However, the tight supplies limited the decline. The global economic recovery has pushed fuel demand to near pre-epidemic level. OPEC+ has not yet made progress in resolving the problem between Saudi Arabia and the Uni Arab Emirates (UAE). Russia has been pushing to return to the negotiating table and seek ways to reach an agreement.
From the technical point of view, daily candles weakened and then rebounded but has always been above the 5-day MA and middle band of BOLL, indicating that the market is still bullish. H4 graphs shows that the market is in a bullish range, RSI indicator moves upwards and the MA forms Golden Cross. Overall, prioritise Buy on the fluctuation zone. The deciding point whether to buy or sell is near 74.30.
Resistance：74.30-75.00-76.40
Support：73.30-72.50-71.70
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