Gold and WTI crude oil prices start the new year on a positive note
Gold and WTI start the new year on a positive footing amid lower crude oil inventories.
Spot gold price rises
The spot gold price's recovery from the June to December uptrend line, starting in late December, is moving it towards its recent high of $2639. This follows a low of $2596 per troy ounce on Monday. Resistance above this level is found at the 55-day simple moving average (SMA) at $2663.
Support may be offered by the June to December uptrend at $2602, just ahead of Monday's low of $2596. Below this, the December low at $2584 provides additional support. As long as this holds, further range trading is expected. However, if it fails, the November low at $2537 could come into focus.
Spot gold daily chart
WTI crude oil price probes key resistance area
The price of WTI front month crude oil futures contract probes the 71.03 - 72.59 key resistance zone, following a decrease in crude oil inventories. This technical resistance zone, which includes the August lows and the September to December highs, may act as a cap once more.
If there is a rise and a daily chart close above the 72.59 November high, the 200-day SMA at 75.17 could become relevant again.
Potential support for declines may be found between the 71.28 August low and the 71.03 mid-December high. Further support lies at the 55-day simple moving average (SMA) at 69.57.
WTI crude oil daily chart
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