Gold price experienced a significant rally, surpassing the $2,040 resistance level and reaching as high as $2,060 against the US Dollar. However, the bullish trend was short-lived as the price underwent a downside correction. The bears managed to push the price below key support levels including $2,030 and the 50-hour simple moving average. The price continued to decline, testing the $2,020 zone and forming a low near $2,019.32. Currently, the price is exhibiting bearish signs.
Immediate resistance for gold price is near the 23.6% Fibonacci retracement level of the downward move from the $2,062 swing high to the $2,019 low, which is at $2,030. A major resistance level can be found near a bearish trend line at $2,040, which coincides with the 50-hour simple moving average and the 50% Fibonacci retracement level. If the price manages to break above these resistances, it could potentially reach $2,055 and test the $2,070 resistance. The next significant resistance level is at $2,080 and a break above this level may propel the price towards $2,120. Further upward gains could lead to an increase towards the $2,135 level.
On the downside, initial support is near the $2,020 level, followed by a major support level near $2,012. A downside break below this level could result in further price decline. In such a scenario, the price might drop towards the $1,980 support level.
WTI Crude Oil price faced difficulty in continuing its upward movement above $75.20 against the US Dollar. As a result, the price formed a short-term top and started a fresh decline, falling below the $74.50 level. The bears further pushed the price down below $72.20 and the 50-hour simple moving average, ultimately testing the $71.40 zone. Currently, the price is consolidating losses.
Immediate support for WTI crude oil price can be found near the $71.40 level, while the next major support level is near $71.00. If the price breaks below this support level, it might decline towards $70.00 and potentially even reach the $68.00 support zone.
On the upside, immediate resistance is near a significant bearish trend line at $72.20. This level is also close to the 23.6% Fibonacci retracement level of the downward move from the $73.63 swing high to the $71.69 low. The next resistance level is near the 61.8% Fibonacci retracement level at $72.90. A clear move above the trend line resistance and $72.90 could pave the way for the price to reach $73.60. The subsequent key resistance level is at $75.20. If the price continues to climb higher, it might encounter resistance near $78.00 and potentially even reach the $80.00 level.
Gold price experienced a downward correction after a strong rally, with the bears pushing the price below key support levels. The immediate resistance to watch out for is near the 23.6% Fibonacci retracement level at $2,030. On the other hand, WTI Crude Oil price struggled to continue its upward movement and started to decline. The immediate support level for oil price is near $71.40, while the resistance can be found near a significant bearish trend line at $72.20.
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