Gold, Oil, And Gas – Three Markets At Interesting Levels
As the US Dollar bounces higher for the fifth day in a row from oversold levels, we’re seeing some of the commodity markets trade at some levels that are worth paying attention to.
$GLD is down nearly 2% today and it’s losing this important technical breakout level that it cleared back at the end of April above 121.50. Gold has seen some incredible strength throughout 2016 and this move lower doesn’t mean that its all over, it simply indicates gold probably needs more time consolidating sideways in it’s old range of 115 – 121 before it’s ready to push higher again.
$UNG has been quietly charging up over the past couple of weeks in this range and it looks to be getting close to some sort of resolve. 6.50 – 7.0 is where the bulk of trading has taken place for the past 2+ months and i’m interested in playing a breakout from outside of this tight range when it occurs. On watch.
$USO trading within this rising wedge pattern ever since the double bottom back in early February. It’s now back to an important prior breakout level at 10.70 and a place that the bulls have defended twice in just last week. This is an important upper level area of support for USO to hold remain pent up and healthy.
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