(MENAFN- DailyFX)
Talking Points:
Crude oil prices may fall as markets sour after Mnuchin G20 debut OPEC output cut extension may be discussed at Berlin energy summit Gold prices look to Fed commentary for post-FOMC direction cues Crude oil prices marked time, seemingly unable to reconcile conflicting comments from Saudi Arabia and Russia about the future of the OPEC output cut deal with some of the leading producers outside the cartel. The kingdom's Energy Minister Khalid Al-Falih said his country was prepared to extend the accord beyond mid-year but his Russian counterpart Alexander Novak said it was too early to discuss doing so.
A gathering of industry bigwigs for the Energy Transition conference in Berlin may bring market-moving commentary early in the week. Otherwise, risk appetite may assert its influence over cycle-sensitive energy prices. That may bode ill for the WTI benchmark in the near term. S & P 500 futures trading significantly lower to start the week, suggesting that a risk-off mood may be setting in.
h, come across the wires. Rhetoric reiterating policymakers' intent to continue raising rates this year may remind investors that the Fed is alone among its G10 peers in pursuing stimulus withdrawal. That may help cap gold's gains.
How did our gold and crude oil forecasts fare in the first quarter? Find out here!
GOLD TECHNICAL ANALYSIS Gold prices may continue to recover after prices narrowly closed above resistance at 1227.99, the 23.6% Fibonacci expansion. From here, a further push above the 38.2% level at 1248.58 targets the 50% Fib at 1265.23. Alternatively, a turn back below 1227.99 now recast as support paves the way for a retest of the 14.6% expansion at 1215.29.
Chart created using TradingView
CRUDE OIL TECHNICAL ANALYSIS Crude oil prices continue to mark time in familiar territory. From here, a break below the 50% Fibonacci retracementat 47.22 exposes the 61.8% level at 45.33. Alternatively, a daily close above the 38.2% Fib at 49.11 sees the next upside barrier at 51.44, the 23.6% retracement.
Chart created using TradingView
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
To receive Ilya's analysis directly via email, please SIGN UP HERE
Contact and follow Ilya on Twitter: @IlyaSpivak
MENAFN1903201700760000ID1095329299
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.