Gold Price Could Extend Decline While Oil Price Eyes Next Break

FXOpen

Gold price started a strong decline after trading close to $2,075. Crude oil price is currently consolidating in a range and preparing for the next key break.

Important Takeaways for Gold and Oil

  • Gold price traded to a new all-time high above $2,070 before correcting lower against the US Dollar.
  • There is a key bearish trend line forming with resistance near $1,970 on the hourly chart of gold.
  • Crude oil price is currently trading nicely above the $42.00 support zone.
  • There is a major bullish trend line forming with support near $42.30 on the hourly chart of XTI/USD.

Gold Price Technical Analysis

Gold price extended its rise above the $2,000 level against the US Dollar. The price even broke the $2,050 level and traded to a new multi-year high above $2,070 on FXOpen.

Recently, there was a sharp downside correction below the $2,050 and $2,000 support levels. The price declined more than $1,000 and even dived below the $1,900 level, plus the 50 hourly simple moving average.

Gold Price Technical Analysis

It traded as low as $1,862 and currently correcting higher. There was a break above the $1,900 and $1,920 levels. Besides, the price climbed above the 23.6% Fib retracement level of the recent dive from the $2,074 high to $1,862 low.

The price traded above the $1,950 level, but it is struggling to clear the $1,965 and $1,970 levels. There is also a key bearish trend line forming with resistance near $1,970 on the hourly chart of gold.

The trend line is close to the 50% Fib retracement level of the recent dive from the $2,074 high to $1,862 low. To start a fresh increase, gold price must clear the $1,965 and $1,970 resistance levels. In the mentioned case, it could revisit the $2,000 level.

Conversely, it might start a fresh decline below the $1,940 level and the 50 hourly SMA. The next major support is near the $1,920 level, below which the price might revisit the $1,900 support zone in the coming sessions.

Oil Price Technical Analysis

Crude oil price started a steady rise above the $40.50 and $41.20 levels against the US Dollar. The price even broke the $42.00 resistance zone to move into a positive zone.

It traded as high as $43.11 recently and settled above the 50 hourly simple moving average. At the moment, the price is consolidating gains and trading in a range below the $43.00 level.

Oil Price Technical Analysis

It seems like there is a major bullish trend line forming with support near $42.30 on the hourly chart of XTI/USD. If the price breaks the trend line support, it could decline below the $42.00 support zone.

The next major support is near the $41.65 level, below which the price is likely to continue lower towards the $40.50 level in the coming sessions. Any further losses could lead it towards the $40.00 pivot level.

Conversely, oil price might continue to rise above the $43.00 and $43.10 levels. The next major hurdle for the bulls could be $43.60, above which there are chances of a sharp rise. In the mentioned case, the bulls are likely to aim a test of the main $45.00 resistance in the near term.

Trade over 50 forex markets 24 hours a day with FXOpen. Take advantage of low commissions, deep liquidity, and spreads from 0.0 pips. Open your FXOpen account now or learn more about trading forex with FXOpen.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Latest from Forex Analysis

Commodities and European currencies Test Key Supports EUR/USD Analysis: The Price Today Has Set Its Minimum Since the Beginning of March Market Analysis: GBP/USD Dives While USD/CAD Gains Bullish Pace The US Currency Corrects After Recent Growth USD/JPY Price Analysis: Consolidation ahead of US News

Latest articles

Weekly Market Wrap With Gary Thomson: NIKKEI-225, USD/JPY, GBP/USD, USD/CAD, Gold
Financial Market News

Weekly Market Wrap With Gary Thomson: NIKKEI-225, USD/JPY, GBP/USD, USD/CAD, Gold

Get the latest scoop on the week's hottest headlines, all in one convenient video. Join Gary Thomson, the COO of  FXOpen UK, as he breaks down the most significant news reports and shares his expert insights.

  • NIKKEI-225 Analysis Indicates Possibility

Forex Analysis

Commodities and European currencies Test Key Supports

On the eve of the Easter holidays, the main currency pairs have slightly slowed down the development of the main trends and are consolidating near key ranges, the breakdown of which could provoke a change in the vectors of medium-term

Shares

Stock Market Analysis: NVDA Losing Leadership?

Since the start of the week, the S&P-500 Index (US500) is up about 0.58% while NVDA's share price is down about 3.8%. This is a worrying sign for Nvidia stock investors — could it be a sign

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 65.68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.