Weekly Forecast #XAUUSD #SP500 & #OIL: 13–19 Nov 2022
Gold (XAU/USD)
Last week saw the price of Gold rise very strongly, printing a large bullish candlestick which closed right on its high. This was driven by the unusually strong fall in the US Dollar which was triggered by a long-awaited US inflation print below expectations signaling a meaningful fall.
Despite its common reputation as a safe-haven asset, Gold has a historically positive correlation with the US stock market, so it is not a big surprise that Gold is making gains at the same time as stocks are.
We see firm bullish short-term momentum here, and what makes the price of Gold especially interesting for traders over the coming days is that unlike most major Forex pairs, the price has some way left to rise before reaching an area of key resistance.
It is likely that the price will continue to rise over the coming days to at least the nearest resistance level at $1809.
WTI Crude Oil
The West Texas Intermediate Crude Oil market has fallen during the course of the week, but it does look like there are buyers in this general vicinity. Typically, this is a market that likes to consolidate for a while before making a bigger move. The 50-Week EMA is right in the middle this area as well, and it looks like the market is comfortable bouncing around between the $85 level on the bottom and $95 level on the top. With this, I think you continue to see a lot of neutral behavior, meaning that you probably have to focus on short-term back-and-forth type of moves.
S&P 500
The S&P 500 has rallied significantly during the trading week to break above the 3950 level. At this point, the market is threatening the 4000 area, where we should see a 50-Week EMA come into the picture and cause some problems. That being said, it looks like the market is willing to step in and by the S&P 500 and hold onto it. This suggests that we do have further to go, but it probably is somewhat limited at this point in time. Ultimately, the 200-Week EMA has offered support, but at the end of day we still have a lot of noise when it comes to interest rates.
0 comments:
Post a Comment