Today's outlook for Oil & Gold
Wednesday, September 23, 2009
by Carol Harmer of Technical Analysis Reports
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Gold rebounded with vengeance yesterday although it did fail to reach the previous highs. This has to clear 1025 and hold above 1028 to show any further sign of strength. Then and only then would the weekly highs of 1033/35 be a viable target.
Now this target should hold any attempt at it thus sellers will be in defending this point. However they will be wary and leap from longs if the market breaks 1039. If this breaks then the weekly highs have been negated and Gold will march on for 1049.5. Support is at 1013/12. If lost look for 1009/08. This should hold now and buyer will be evident at these lows.
http://www.charmercharts.com/
WTI Oil Oct Contract
Oil rallied through our first resistance but halted a couple of ticks below 71.88 as we had expected. Pressure still remains to the downside even after yesterdays performance. If 71.88 continues to hold then we should see a return to the recent lows. First support is 71.10/15 with a break leading us lower to 70.59/78. We could see a pause here for a while but a break below 70.40 takes us to 70.00/05 with a break of 69.68/78 likely to see a return to 68.96
If we do manage a break above 71.88 then 72.44/52 is very possible. There is a chance we won't make it through here but if we do then 72.84 to 73.16 should be challenged. Good resistance here and therefore it will be tough to break today.
With a career spanning almost 30 years, Carol Harmer is undoubtedly one of the most respected and established technical analysts in the UK and is a founding member of the STA (The Society of Technical Analysts).
Carol’s career started in the early eighties, trading futures on the floor at LIFFE where she quickly discovered Technical Analysis as a way to maximise profits. She was one of the first traders on LIFFE to discover and study this form of analysis and quickly became widely recognised as an expert in its use as well as highly profitable.
This soon led to a position as Senior Technical Analyst for Midland Bank. She was later head hunted for the role of Manager of Technical Analysis for Nomura Bank and then as Head of Technical Trading at Credit Suisse.
In 1996 Carol launched 'Charmer Charts' to train independent traders in technical analysis and became the first person to provide daily forecasts for the established traders on the LIFFE floor.
She returned to the floor, trading her own account, advising traders throughout the day and continued her appearances on Bloomberg, CNBC and Reuters financial TV where she provided her valued, expert opinion on the direction of financial markets.
Carol has now established herself as an advisor and trader at a private hedge fund, whilst offering guidance and reliable information by way of her daily Technical Analysis reports to traders and financial institutions world-wide. Her 30 years of studying technical analysis ensures she is one of the most experienced in this field in the world today.
