18.09.2014 - Technical view on commodity futures

The price of gold after consolidation below the level of 1240started to decline sharply, broke through the level of 1220, and reached the bottom of the channel, but rebounded upwards and now is consolidating near the mark of 1220. In case of continuation of the correction, the price can reach the upper limit of the channel and the level of 1240. We expect a further decline in the price within the channel with the objectives of 1200 and 1180. Reduction potential is falling and we maintain a positive medium-term outlook for gold.

Nearest resistance levels: 1240, 1244, 1252, 1265, 1278, 1290, 1300, 1320, 1330

Nearest support levels: 1220, 1200, 1180

The price of Light sweet crude oil has failed to overcome the upper boundary of the channel and started to correct downwards. At the moment, the price reached the strong level of 92.50. In case of overcoming of this mark, the price will continue to fall to 90.00. At the moment, there is no reason to expect a reversal of the trend. Probably the amplitude of price fluctuations will be reduced, but our medium-term view remains negative.

Nearest resistance levels: 94.00, 95.00, 95.50, 96.00, 98.00, 100.00

Nearest support levels: 92.50, 91.60, 91.00, 90.00, 89.00, 87.50

RISK WARNING: Trading of complex financial products, such as Stocks, Futures, Foreign Exchange ("Forex"), Contracts for Difference ("CFDs"), Indices, Options, or other financial derivatives, on "margin" carries a high level of risk, and may not be suitable for all investors. The possibility exists that you could sustain a loss of some or all of your initial investment and, therefore, you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with trading these markets, and seek advice from an independent financial advisor if you have any questions or doubts. Please carefully read our full "Risk Disclosure" and "Risk Disclosures for Financial Instruments & Investment Services". FXFINPRO Capital is the trading name of PFX Financial Professionals Limited, a limited liability company formed under the laws of Cyprus, registered with the Registrar of Companies in Nicosia, Cyprus, under nr. HE 237840 and regulated by the Cyprus Securities and Exchange Commission with license number 193/13.