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CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.

​WTI and natural gas prices rally while gold slides

The short-term outlook on WTI and natural gas is bullish while that of gold remains bearish.

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​​Gold flirts with the $1,700 mark

Gold continues to evolve in ten-month lows and now trades below the September 2021 low at $1,722 per troy ounce which acts as minor resistance whilst targeting the August 2021 low at $1,684 and also the June 2020 and March 2021 lows at $1,678 to $1,671.

In line with several other commodities, gold is thus trading well below pre-Russian invasion of Ukraine levels as the US dollar has reached multi-decade highs on safe-haven flows.

Minor resistance above Monday’s high at $1,724 can be seen at the 13 July high at $1,745 and also at the $1,752 to $1,754 8 July high and December 2021 low.

Gold chart Source: ProRealTime

Natural gas rallies on Nordstream pipeline re-opening fears

Natural gas futures rallied by over 30% from its 5 July three-month low at $5.33 close to the 55-day simple moving average (SMA) at $7.54 amid fears that the planned July maintenance shutdown of the Nordstream 1 pipeline might be extended by Russia after it is meant to re-open on Thursday.

If this were to indeed be the case, a stratospheric rally in the price of natural gas would likely be seen which would take its price to well above the $10 mark.

Resistance on the way up lies between the 20 and 31 May as well as 9 June lows and 16 June high at $7.92 to $8.13. Minor support sits between the 14 June low and 29 June high at $7.02 to $6.95.

Natural gas chart Source: ProRealTime

WTI likely to continue its sharp rally

West Texas Intermediate (WTI) crude oil’s sharp rally from its 14 July $88.55 per barrel low accelerated on Monday when it rose by around 5% on a tight global market.

US President Joe Biden’s visit to Saudi Arabia failed to yield any increase in production, with Saudi ministers re-iterating that OPEC+ would base their policy decisions on market factors ahead of their meeting on 3 August.

The minor psychological $100 mark is about to be hit with the June low at $101.22 being next in line. Further up sits the 8 July high at $103.

Immediate upside pressure should be maintained while the price of oil stays above Friday’s high at $96.37. Below it meanders the 200-day SMA at $93.60 which underpins the price of WTI.

WTI chart Source: ProRealTime

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