Focus

Market sentiment was dampened amid weaker-than-expected economic data from the US and the Eurozone. Wall Street slipped with DJIA and S&P 500 losing -0.21% and -0.33% respectively. Oil prices remained firm with the prompt month contract for Brent crude surged to as high as 123.23 before settling at 122.9, up +1.02% while the equivalent WTI crude contract closed largely flat as investors were disappointed by the rises in oil inventories. Gold soared for a second consecutive day rising to a 3-month high of 1783.4 before ending the day at 1771.3, up +0.73%.

Oil prices eased after soaring to a 9-month high after Eurozone PMI missed expectations. Concern over weak economic outlook in the 17-nation region re-emerged, upstaged the newly approved bailout package to Greece and escalated Iranian tensions. The front-month contract for WTI crude oil moved within a narrow range of 105.62 and 106.41 ahead of US opening. The equivalent Brent crude contract also eased a bit.

Oil prices eased after soaring to a 9-month high after Eurozone PMI missed expectations. Concern over weak economic outlook in the 17-nation region re-emerged, upstaged the newly approved bailout package to Greece and escalated Iranian tensions. The front-month contract for WTI crude oil moved within a narrow range of 105.62 and 106.41 ahead of US opening. The equivalent Brent crude contract also eased a bit.

Despite a modest push shortly after the announcement that the EU approved the second Greek bailout package, European bourses closed in red as doubts remained. Wall Street climbed modestly higher with DJIA and S&P 500 gaining +0.12% and +0.07% respectively. In the commodity sector, crude oil prices rallied higher with WTI crude oil for April delivery jumping to as high as 106.48 before closing at 106.25, up 2.58% from Friday’s close of 103.6. The equivalent Brent crude contract jumped to as high as 121.88 before ending the day at 121.66, up +1.34%. The front-month contract for Comex gold gained +1.89% to settle at 1758.5.

Intraday bias in silver remains neutral for the moment as consolidation from 34.52 continues. There is no clear signal of reversal as the price actions from 34.52 look corrective so far. We'll slightly prefer another rise as long as 38.2% retracement of 26.145 to 34.52 at 31.32 holds. Above 34.52 will target a test on 35.70 key resistance next. Nonetheless, sustained break of 31.32 should confirm completion of rise from 26.145 and flip bias back to the downside for retesting this support.

Crude oil formed a temporary top at 105.44 and intraday bias is turned neutral for some consolidations. Though, downside of retreat is expected to be contained above 100.84 and bring another rise. Rally from 74.95 has just resumed and above 105.44 will target 114.83 key resistance next.

Natural gas' consolidation from 2.231 is still in progress and intraday bias is mildly on the upside for 2.844 resistance and above. However, upside is expected to be limited by 3.12 cluster resistance (61.8% retracement of 3.689 to 2.231 at 3.132) and bring down trend resumption eventually. Below 2.483 will bring retest of 2.231 low first. Break will confirm fall resumption for 2.130 projection level next.

Gold continues stay in consolidative trading below 1765.9 and intraday bias remains neutral for the moment. Though, we'll stay cautiously bullish as long as 38.2% retracement of 1523.9 to 1765.9 at 1673.5 holds. Above 1765.9 will target 1804.4 key near term resistance next. However, sustained trading below 1673.5 will argue that rebound from 1523.9 has completed and flip bias back to the downside for this support.