Weekly analysis- Elliott waves for Forex correlation analysis – Gold, Silver, Oil Weekly Analysis

During the previous trading week, gold markets traded long and even ended up breaking the key resistive level $1100. From the current chart structure and setups, the demand for gold is still by far much stronger than its supply, thus, we believe that gold will continue long but only up to  $1179 or even higher. We expect a bounce from this level which should then push the market lower towards $1100. At the movement, we have absolutely no interest in selling gold, we will either sit on the sidelines or even buy upon a break out.

During the course of the previous trading week, silver traded long and ended up finding a Resistance along 14.5 thereby forming somehow a shooting star on the weekly chart. A break above 14.63 will be a very strong bullish sign, which means we will be headed long for the better parts of the week but with our targets at 15.0 and 15.36. Ideally, the 50% fib level should present a major challenge to the upward thrush, meaning, from there, we may be headed short from there but with our targets at 14.5 and 13.3.

During the course of the previous trading week, oil markets initially fell up to 29.38 but ended up forming somehow a supportive looking hummer. This is a clear sign that crude oil could be headed long for the better parts of the week, thus during this week, we will be keen to look for long positions with our targets at 37.85 and an ultimate target at 49.64. During the course of that previous week, Crude oil had a strong positive correlation to US SPX500, Natural Gas, Australia 200 and ZAR/JPY. The just mentioned commodities and currency had a strong positive correlation with crude oil of up to +0.96. Thus, while you’ll be keen to buy crude oil during this week, also observe closely the other items.