Commodities are trading mixed as markets await the U.S. Federal Reserve’s interest rate decision and monitor developments in renewed U.S.-China trade negotiations. While gold and silver prices have eased due to improving risk sentiment and a stronger dollar, crude oil and natural gas remain supported by supply concerns, geopolitical risks, and expectations of stronger global demand.
KEY HIGHLIGHTS
- Gold Slips as Dollar Strengthens Before Key Fed Decision
- Silver Dips Near $33 Ahead of US-China Trade Talks
- Crude Oil Rises on Trade Optimism and Supply Concerns
- Natural Gas Holds Gains, Eyes Breakout Above $3.721 Resistance
Gold (XAU/USD): Pressured Despite Geopolitical Risks
Market Summary
Gold prices hold intraday losses, showing limited upside momentum despite ongoing geopolitical tensions and anticipation ahead of the FOMC policy decision.
- Gold bounced from its Asian session low near $3,390 but remains under pressure.
- Optimism surrounding U.S.-China trade talks in Switzerland has weakened safe-haven demand.
- The U.S. Dollar strengthened ahead of central bank decisions, further weighing on gold.
- However, geopolitical uncertainties—including the Russia-Ukraine war, unrest in the Middle East, and rising India-Pakistan tensions—continue to support gold’s safe-haven appeal.
Technical Overview
Moving Averages
Exponential Moving Averages
- MA 10: 3329.8370 | Positive Crossover | Bullish
- MA 20: 3280.2797 | Positive Crossover | Bullish
- MA 50: 3145.2583 | Positive Crossover | Bullish
Simple Moving Averages
- MA 10: 3325.1562 | Positive Crossover | Bullish
- MA 20: 3297.1908 | Positive Crossover | Bullish
- MA 50: 3113.6263 | Positive Crossover | Bullish
Indicators
- RSI: 62.0712 | Buy Zone | Bullish
- Stochastic Oscillator: 61.4879 | Buy Zone | Neutral
Key Levels
- Resistance: R1: 3455.9467 | R2: 3584.2033
- Support: S1: 3040.7433 | S2: 2912.4867
Market Outlook
- Overall Sentiment: Bullish
- Market Direction: Buy
Trade Suggestion
- Entry (Limit Buy): 3352.00
- Take Profit: 3444.30
- Stop Loss: 3300.00
Silver (XAG/USD): Pulls Back Amid Stronger Dollar and Trade Optimism
Market Summary
Silver edged lower during the Asian session, hovering near $33.00, as investors reassess safe-haven demand in light of renewed trade optimism.
- Pullback follows two consecutive days of gains.
- Renewed U.S.-China trade discussions in Geneva are calming market fears.
- Stronger U.S. Dollar ahead of the Fed’s rate announcement adds downside pressure.
- Focus is on Fed Chair Jerome Powell’s guidance, especially amid political pressure to ease policy.
Technical Overview
Moving Averages
Exponential Moving Averages
- MA 10: 32.74 | Positive Crossover | Bullish
- MA 20: 32.65 | Positive Crossover | Bullish
- MA 50: 32.00 | Positive Crossover | Bullish
Simple Moving Averages
- MA 10: 32.82 | Positive Crossover | Bullish
- MA 20: 32.56 | Positive Crossover | Bullish
- MA 50: 31.78 | Positive Crossover | Bullish
Indicators
- RSI: 53.87 | Buy Zone | Bullish
- Stochastic Oscillator: 58.07 | Buy Zone | Neutral
Key Levels
- Resistance: R1: 33.35 | R2: 34.50
- Support: S1: 32.40 | S2: 31.65
Market Outlook
- Overall Sentiment: Neutral
- Market Direction: Buy
Trade Suggestion
- Entry (Limit Buy): 32.82
- Take Profit: 33.54
- Stop Loss: 32.48
Crude Oil (WTI): Rebounds to One-Week High Ahead of Trade Talks
Market Summary
WTI crude oil climbed to a one-week high near the $60.00 mark, supported by easing trade tensions and supply expectations.
- U.S.-China trade resumption boosts demand sentiment.
- U.S. supply seen tightening as drilling activity declines.
- Geopolitical concerns in Ukraine and the Middle East continue to support prices.
- Optimism about increasing Chinese fuel demand is also aiding the rebound.
- Gains may be capped by OPEC+ plans to accelerate output and a stronger U.S. Dollar.
Technical Overview
Moving Averages
Exponential Moving Averages
- MA 10: 59.8649 | Positive Crossover | Bullish
- MA 20: 61.2722 | Negative Crossover | Bearish
- MA 50: 64.4018 | Negative Crossover | Bearish
Simple Moving Averages
- MA 10: 59.9791 | Positive Crossover | Bullish
- MA 20: 61.1690 | Negative Crossover | Bearish
- MA 50: 64.9848 | Negative Crossover | Bearish
Indicators
- RSI: 43.5748 | Sell Zone | Bearish
- Stochastic Oscillator: 36.3681 | Sell Zone | Neutral
Key Levels
- Resistance: R1: 68.4023 | R2: 72.4497
- Support: S1: 55.2997 | S2: 51.2523
Market Outlook
- Overall Sentiment: Neutral
- Market Direction: Buy
Trade Suggestion
- Entry (Limit Buy): 59.76
- Take Profit: 60.85
- Stop Loss: 59.21
Natural Gas (NG): Holds Above 50-Day EMA, Eyes Breakout
Market Summary
Natural gas remains steady near $3.567, supported by key technical levels and the potential for a breakout.
- Prices continue to hold above the 50-day EMA at $3.471.
- Immediate support lies at $3.452 with a rising trendline intact.
- A breakout above $3.721 could open the door to further upside.
- Failure to hold $3.452 could trigger a decline toward $3.310.
Technical Overview
Moving Averages
Exponential Moving Averages
- MA 10: 3.3690 | Positive Crossover | Bullish
- MA 20: 3.4035 | Positive Crossover | Bullish
- MA 50: 3.5820 | Negative Crossover | Bearish
Simple Moving Averages
- MA 10: 3.3018 | Positive Crossover | Bullish
- MA 20: 3.3051 | Positive Crossover | Bullish
- MA 50: 3.7713 | Negative Crossover | Bearish
Indicators
- RSI: 51.0669 | Buy Zone | Bullish
- Stochastic Oscillator: 74.2605 | Buy Zone | Neutral
Key Levels
- Resistance: R1: 3.9384 | R2: 4.2443
- Support: S1: 2.9483 | S2: 2.6424
Market Outlook
- Overall Sentiment: Bullish
- Market Direction: Buy
Trade Suggestion
- Entry (Limit Buy): 3.49
- Take Profit: 3.74
- Stop Loss: 3.36
Commodity Snapshot as of Writing
- Gold: ↓ 1.44% at 3387.55
- Silver: ↓ 0.55% at 33.00
- Palladium: ↓ 0.18% at 972.49
- Platinum: ↑ 0.16% at 987.36
- Brent Crude Oil: ↑ 1.71% at 63.07
- WTI Crude Oil: ↑ 1.93% at 60.12
Key Economic Events Today
- FOMC Statement (USD) – 23:30
- Fed Interest Rate Decision (USD)
- Forecast: 4.50%
- Previous: 4.50%
- Time: 23:30