Asia - Commodities Technical Outlook and Review | 18 December 2023
XAU/USD (GOLD):
The XAU/USD chart currently demonstrates a neutral momentum, indicating a potential for price to fluctuate between the 1st support and the 1st resistance.
The 1st support level at 1,980.26 is identified as an overlap support. Further below, the 2nd support level at 1,936.13 is also noted as an overlap support that aligns with the 61.80% Fibonacci retracement level, reinforcing its importance as a key support level.
On the resistance side, the 1st resistance level at 2,068.00 is identified as a multi-swing-high resistance, further indicating its potential significance as a barrier for further upward movement.
WTI/USD:
The WTI chart currently exhibits an overall bearish momentum, suggesting a prevailing downward trend. In this context, there is a potential scenario for price to make a bearish reaction off the 1st resistance before resuming the downtrend and falling towards the 1st support.
The 1st resistance level at 72.42 is identified as an overlap resistance. Higher up, the 2nd resistance level at 74.81 is marked as a pullback resistance, further indicating its potential significance as a barrier for further upward movement.
To the downside, the 1st support level at 66.97 is identified as a multi-swing-low support, reinforcing its importance as a key support level.
