Gold, silver, and oil oscillate in relatively quiet session
Retail long bias in gold drops while edges a notch higher in oil to further extreme buy levels.
Gold Technical analysis, overview, strategies, and levels
Gold prices have managed to edge slightly higher in yesterday's session only to retrace back down this morning as equities make a run higher, with the focus remaining on whether central banks will continue easing policies that on the one hand prop up equities, but on the other weaken currencies against the more finite precious metal. Its weekly overview is a stalling bull trend, while on the daily overview its main technical indicators are a bit more neutral, but where its price has remained above its main long-term moving averages, with a positive DMI (Directional Movement Index), and a trending ADX (Average Directional Index. Today's testimony from US Federal Reserve (Fed) Chairman Powell will matter in the context of whether current easing will continue.
IG client* and CoT sentiment for Gold
Retail bias here remains heavy long but has dropped from yesterday’s 70% to 66% as of this morning.
Gold chart with retail and institutional sentiment
Silver Technical analysis, overview, strategies, and levels
Silver's price movement was largely consolidatory yesterday, and in line with its current technical overview on both the weekly and daily. In the FX market, the US dollar was largely in the middle, translating into little change on this front. Compared to gold, it underperformed only slight and hence taking the gold/silver ratio only slightly lower.
IG client* and CoT sentiment for Silver
In sentiment, the lack of change has meant that retail bias has remained at an extreme long 92%, and for the remaining precious metals its an extreme long 85% for platinum and a full short 100% for palladium.
Silver chart with retail and institutional sentiment
Oil WTI Technical analysis, overview, strategies, and levels
Oil traders continue to await fresh news that might provide a floor to oil prices that thus far have failed to show significant follow through in the direction of heavy to extreme long traders. From a technical standpoint – and it has meant much less as of late given fundamental factors have driven this pair's price on expected weakened demand from China given the coronavirus and a lack of follow through from OPEC+ regarding further output cuts – the overview remains bearish. API (American Petroleum Institute) is the first of the oil date released this evening, while any update on the OPEC+ front could no doubt add to volatility following yesterday’s rangebound session.
IG client* and CoT sentiment for Oil WTI
Retail bias remains extreme long rising a notch to 88%.
Oil WTI chart with retail and institutional sentiment
*The percentage of IG client accounts with positions in this market that are currently long or short. Calculated to the nearest 1%.
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