23.10.2014 - Technical view on commodity futures

The price of gold reached the level of 1250, but failed to gain a foothold above it and now is near the lower limit of the local rising channel. Given the strong growth of price over the past days, we can see a correction in gold prices to 1230. Despite this, there is a great probability of further growth of the price with the objectives of 1265, 1290 and 1330 after a rebound from the bottom of the channel. We recommend holding long positions with a stop below 1220, and maintain a medium-term negative outlook.

Nearest resistance levels: 1252, 1265, 1278, 1290, 1300

Nearest support levels: 1244, 1230, 1220, 1200, 1180

The price of Light sweet crude oil after a long consolidation started to fall sharply and will soon continue falling to the level of 80.00. To continue the downward movement quotations need to fix below this psychologically important level. The potential for further reduction is about 5-7%. Signal to close short positions will be fixing prices above 85.50. We maintain a medium-term negative outlook.

Nearest resistance levels: 84.00, 85.50, 87.00, 89.00, 90.00, 92.00, 94.20, 95.00, 95.50

Nearest support levels: 80.00, 77.00, 75.00

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