COMMODITIES: Next Target for Gold at $4074.54, a Fibonacci Projection

A bearish theme in WTI futures remains intact and short-term gains are considered corrective. Recent weakness resulted in a move through key support and a bear trigger at $60.85, the Aug 13 low. Clearance of this level strengthens the bear threat and paves the way for an extension towards $57.50, the May 30 low. Initial firm resistance is at $66.42, the Sep 29 high. Clearance of this level would highlight a reversal. A bull cycle in Gold remains in play and this week’s breach of the $4000 handle reinforces the uptrend. The move higher maintains the price sequence of higher highs and higher lows. Note that the trend is in overbought territory. A move down would be considered corrective and would allow the overbought set-up to unwind. For now, sights are on $4074.54, a Fibonacci projection. Support to watch is $3817.5, 20-day EMA.

• WTI Crude down $0.18 or -0.29% at $61.28
• Natural Gas down $0.05 or -1.59% at $3.219
• Gold spot up $14.73 or +0.37% at $3992.54
• Copper up $1.9 or +0.37% at $514.1
• Silver up $1.66 or +3.36% at $50.957
• Platinum down $0.77 or -0.05% at $1626.02