Market Analysis: Gold and WTI Crude Oil Crash As Trade War Escalates

Gold price started a fresh decline below $3,050. WTI Crude oil is down over 10% and remains at risk of more losses.

Important Takeaways for Gold and WTI Crude Oil Prices Analysis Today

· Gold price climbed higher toward the $3,150 zone before there was a sharp decline against the US Dollar.

· A key bearish trend line is forming with resistance near $3,068 on the hourly chart of gold at FXOpen.

· WTI Crude oil prices extended downsides below the $65.00 support zone.

· A major bearish trend line is forming with resistance near $60.70 on the hourly chart of XTI/USD at FXOpen.

Gold Price Technical Analysis

On the hourly chart of Gold at FXOpen, the price climbed above the $3,050 resistance. The price even spiked above $3,150 before the bears appeared.

A high was formed near $3,167 before there was a fresh decline. There was a move below the $3,100 support level. The bears even pushed the price below the $3,000 support and the 50-hour simple moving average.

It tested the $2,970 zone. A low is formed near $2,970 and the price is now showing bearish signs. There was a minor recovery wave above the 23.6% Fib retracement level of the downward move from the $3,167 swing high to the $2,970 low.

However, the bears are active below $3,050. Immediate resistance is near $3,040. The next major resistance is near the $3,068 zone and a key bearish trend line. It is close to the 50% Fib retracement level of the downward move from the $3,167 swing high to the $2,970 low.

The main resistance could be $3,135, above which the price could test the $3,165 resistance. The next major resistance is $3,200.

An upside break above the $3,200 resistance could send Gold price toward $3,250. Any more gains may perhaps set the pace for an increase toward the $3,320 level. Initial support on the downside is near the $3,000 level.

The first major support is near the $2,970 level. If there is a downside break below the $2,970 support, the price might decline further. In the stated case, the price might drop toward the $2,950 support.

WTI Crude Oil Price Technical Analysis

On the hourly chart of WTI Crude Oil at FXOpen, the price struggled to continue higher above $72.00 against the US Dollar. The price formed a short-term top and started a fresh decline below $70.00.

There was a steady decline below the $65.60 pivot level. The bears even pushed the price below $62.20 and the 50-hour simple moving average. Finally, the price tested the $59.20 zone. The recent swing low was formed near $59.21, and the price is now consolidating losses.

There was a minor move above the $60.00 level. On the upside, immediate resistance is near the $60.70 level. There is also a major bearish trend line forming with resistance near $60.70.

The next resistance is near the $62.20 level and the 23.6% Fib retracement level of the downward move from the $71.97 swing high to the $59.21 low. The main resistance is near a trend line at $65.60.

The 50% Fib retracement level of the downward move from the $71.97 swing high to the $59.21 low is also near $65.60. A clear move above the $65.60 zone could send the price toward $68.70. The next key resistance is near $71.85. If the price climbs further higher, it could face resistance near $72.20. Any more gains might send the price toward the $75.00 level.

Immediate support is near the $59.20 level. The next major support on the WTI crude oil chart is near $58.00. If there is a downside break, the price might decline toward $55.00. Any more losses may perhaps open the doors for a move toward the $52.00 support zone.

Text source: Forex Trading Blog

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