Strong economic data reinforces the likelihood of a July interest rate hike by the Federal Reserve, exerting pressure on gold prices. Hawkish remarks from the Federal Reserve restrict the upward movement of oil prices.  

In addition, challenges in the U.S.-Iran negotiations hinder the surge in oil prices, resulting in a potential continuation of volatile fluctuations. 

Gold>> 

Following the release of robust economic data in the United States yesterday, gold prices experienced significant fluctuations. Spot gold plunged over $10, breaking below the $1900 level and hitting a new low since March of this year at $1890 per ounce. 

The final reading of the U.S. Q1 real GDP exceeded the initial estimate by 1.3%, signaling a stronger economic growth and easing concerns of an economic downturn. 

During today’s early Asian trading session, spot gold traded around $1909 per ounce. Despite a slight rebound from yesterday’s multi-day lows, hovering around $1908 per ounce, the overall sentiment for gold remains bearish. 

Technical Analysis: 

In short-term gold trading strategies, prioritize short-selling opportunities during rebounds, while considering low-level long positions as secondary. 

• Key resistance levels to watch in the short term are around 1913-1915. 

• Key support levels to monitor in the short term are around 1890-1893. 

WTI Oil>> 

During today’s early Asian session, WTI crude oil traded around $69.60 per barrel. Hawkish remarks from the Federal Reserve have limited the upward movement of oil prices, while challenges in the U.S.-Iran negotiations suggest potential volatility ahead.  

Additionally, concerns arise over interest rate hikes and economic growth following Federal Reserve Chairman Powell’s reaffirmation of gradual rate increases in the coming months. 

Yesterday, the crude oil market opened at $69.05 per barrel, retraced to $68.8 per barrel, and then experienced a temporary rebound, reaching a daily high of $70.47 per barrel.  

However, it faced resistance and retreated to a daily low of $68.78 per barrel. The session concluded with a rally, closing at $69.65 per barrel. The candlestick pattern resembled an inverted hammer, signaling a resistance level after the rally. 

Technical Analysis: 

Crude oil encounters resistance following the rally, challenging the bullish momentum. Today’s trading strategy recommends exploring short-selling opportunities at higher levels while cautiously considering long positions at lower levels. 

• Key short-term resistance levels to focus on $70.6-$71.6 per barrel 
• Key short-term support levels to focus on $68.9-$67.0 per barrel 

Forward-looking Statements   
This article contains “forward-looking statements” and may be identified by the use of forward-looking terminology such as “anticipate”, “believe”, “continue”, “could”, “estimate”, “expect”, “hope”, “intend”, “may”, “might”, “plan”, “potential”, “predict”, “should”, or “will”, or other variations thereon or comparable terminology. However, the absence of such terminology does not mean that a statement is not forward-looking. In particular, statements about the expectations, beliefs, plans, objectives, assumptions, future events, or future performance of Doo Prime will be generally assumed as forward-looking statements.    

Doo Prime has provided these forward-looking statements based on all current information available to Doo Prime and Doo Prime’s current expectations, assumptions, estimates, and projections. While Doo Prime believes these expectations, assumptions, estimations, and projections are reasonable, these forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond Doo Prime’s control. Such risks and uncertainties may cause results, performance, or achievements materially different from those expressed or implied by the forward-looking statements.    

Doo Prime does not provide any representation or warranty on the reliability, accuracy, or completeness of such statements. Doo Prime is not obliged to provide or release any updates or revisions to any forward-looking statements.   

 
Disclaimer    

While every effort has been made to ensure the accuracy of the information in this document, DOO Prime does not warrant or guarantee the accuracy, completeness or reliability of this information. DOO Prime does not accept responsibility for any losses or damages arising directly or indirectly, from the use of this document. The material contained in this document is provided solely for general information and educational purposes and is not and should not be construed as, an offer to buy or sell, or as a solicitation of an offer to buy or sell, securities, futures, options, bonds or any other relevant financial instruments or investments. Nothing in this document should be taken as making any recommendations or providing any investment or other advice with respect to the purchase, sale or other disposition of financial instruments, any related products or any other products, securities or investments. Trading involves risk and you are advised to exercise caution in relation to the report. Before making any investment decision, prospective investors should seek advice from their own financial advisers, take into account their individual financial needs and circumstances and carefully consider the risks associated with such investment decision.