Gold extended the gain to close at $1,314, up $4.08. Gold has formed a higher high and higher low that indicates potential further upside. A break above Friday’s high will target $1,326, however, any downside will find support at the 14-DMA that stands at $1,306. The RSI and the Stochastic Oscillator are moving up, supporting a positive view. We recommend investors to ‘Buy on dips’, keeping stoploss below the 14-DMA.
Silver ended the session higher at $15.79, up $0.09. Silver is expected to revisit Friday’s high of $15.84; where a break above will target $15.95, followed by $16.16. However, any downside will find support in the range of $15.64-$15.71. The RSI and the Stochastic Oscillator have improved, supporting a positive view. Investors are recommended to view any downside as an opportunity to ‘Buy’, keeping stoploss below $15.64.
Crude oil adjusted its previous decline to close at $52.93, up $0.16. Oil is currently trading below the 14-DMA that will restrict upside at $53.57. However, a fall below Friday’s low will target the 50-DMA standing at $50.97. The Stochastic Oscillator and the MACD are heading down, supporting a bearish view. We recommend investors to ‘Sell on Strength’, keeping stoploss above the 14-DMA.
Upward movement continued for the USD index as it gained 0.06 points to close at 96.41. If the gain continues, the initial target will be at 96.72, with a chance of later extending towards 96.94. However, any downside will find support at 96.24 (Friday’s low). The RSI and the MACD have moved up, supporting a positive view. Investors are recommended to ‘Buy on dips’, keeping stoploss below 96.24.