Gold plummet briefly squeezes long traders, silver manages to finish higher
Relatively range-bound movement in silver and oil, but gold’s negative technical bias remains intact.
Gold Technical analysis, overview, strategies, and levels
It was anything but a sigh of relief for extreme long traders in gold as the slight retracement earlier in the session was met with a harsh plummet, even if it retraced partially off the lows. The technical overview continues to show negative bias on the daily, especially as its short-term support level was broken, and where more of its main technical indicators on the daily (but not yet weekly) are turning red.
IG client and CoT sentiment for Gold
Retail long bias while dropping remains near extreme long levels at 78%.
Gold chart with retail and institutional sentiment
Silver Technical analysis, overview, strategies, and levels
While it was a red day for gold, silver managed to barely recover off the lows to finish only slightly in the green, though unable to shift its current technical overview on the daily that’s showing ongoing negative technical bias following last week’s plummet.
IG client and CoT sentiment for Silver
As with gold, retail sentiment remains in extreme long territories but has dropped slightly, in this case at a staggering 90%.
Silver chart with retail and institutional sentiment
Oil WTI Technical analysis, overview, strategies, and levels
It’s been relatively range-bound movement for oil prices in line with its current consolidatory technical overview on both the daily and weekly, as its price failed to close above its 200-day moving average after multiple attempts last week. And with a bank holiday yesterday in the US it’ll mean API’s (American Petroleum Institute) inventories estimate will be pushed back until tomorrow night, though tonight’s speech from the US president could alter risk appetite and hence potentially energy prices as well.
IG client and CoT sentiment for Oil WTI
In sentiment, retail bias only recently shifted to majority short, and the ongoing range-trading has meant the retracement back down has shifted that bias once again back to a slight majority long 52%.
Oil WTI chart with retail and institutional sentiment
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