23.12.2014 - Technical view on commodity futures

The price of gold declined sharply and broke through the level of 1180, which was the signal for closing long positions. At the moment, quotations pushed off the level of 1170 and the lower limit of the local downtrend channel. Growth of price in the near future is limited by the level of 1190 and the top edge of the channel. In case of breaking through the upper boundary of the channel and fixing the price above 1200, we recommend reopening long positions in gold. Our medium-term outlook remains positive, despite the possible reduction in of price to 1150 in the near future.

Nearest resistance levels: 1200, 1215, 1230, 1244, 1252, 1265, 1278, 1290

Nearest support levels: 1180, 1140, 1120, 1100

The price of Light sweet crude oil showed a strong decline yesterday after failed to continue to grow after reaching the levels of 58.50. According to our forecasts in the near future quotations will return to the level of 54.00. The price Growth in the near future is limited by a strong resistance level at 60.00. We maintain our medium-term negative view on oil and recommend holding short positions.

Nearest resistance levels: 58.50, 60.00, 64.00, 68.00, 70.00, 72.00, 74.00, 76.00, 76.70

Nearest support levels: 54.00, 50.00

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.