Gold, Crude Oil Price Outlook: Market Digests Strong NFP And Higher Yields

Nonetheless, the move showed that the oil cartel and its allies are confident about the recovery of global energy demand towards the summer, and the time is ripe to gradually unwind the production cuts introduced during the pandemic. Saudi Arabia has further raised prices for oil exports to Asia in May by between 20 and 50 cents a barrel, underscoring the region’s robust recovery and solid demand for energy products. Meanwhile, most prices for North West European customers won’t change as a third viral wave sweeps the region.

OPEC+ Plans to Increase Oil Output by Over 2 Million bpd from May to July

Gold, Crude Oil Price Outlook: Market Digests Strong NFP and Higher Yields

Source: Bloomberg, DailyFX

Gold Price Technical Analysis

Gold prices rebounded from a key support level at US$ 1,676 and extended slightly higher. Prices may continue to be range-bound between US$ 1,676 and 1,744 in the near term, with the floor and ceiling serving as immediate resistance and support levels. The primary trend remains bearish-biased however, as suggested by the downward-sloped 50- and 100-day SMA lines, although the 20-day SMA seems to be flattening. The MACD indicator is trending higher beneath the neutral midpoint, suggesting that selling pressure is fading and momentum is tilted towards the upside.

Gold Price – Daily Chart

(Click on image to enlarge)

Crude Oil Price Technical Analysis

An “Ascending Triangle” appears to be forming at the bottom of oil’s downtrend, indicating that downward momentum is fading before potentially changing direction. Prices have likely found immediate support at 59.08 – the 161.8% Fibonacci extension. An immediate resistance level can be found at 61.88 – the upper trendline of the “Ascending Triangle”. The MACD indicator is trending higher, signaling that bullish momentum may be building.

Crude Oil Price – 4-Hour Chart

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