Crude Oil Price Surges To $55, Gold Still Struggling
- Crude oil price extended its rise and traded to a new multi-month high above $55.00.
- The previous major resistance at $51.00 might provide support on the weekly chart of XTI/USD.
- Gold price is still struggling to clear the USD $1,880 resistance zone.
- EUR/USD failed to recover and it extended its decline below the 1.2060 support.
Crude Oil Price Technical Analysis
In the past few days, crude oil price consolidated above the $50.00 support against the US Dollar. Finally, the price gained bullish momentum above the $52.00 and $53.20 resistance levels.
Looking at the weekly chart of XTI/USD, the price remains in a strong uptrend above the $50.00 level and the 100-week simple moving average (red). Recently, the price broke a major hurdle near the $51.00 and settled above it.
It is now trading above the 76.4% Fib retracement level of the downward move from the $65.65 high to $3.62 low. The price is showing positive signs above $52.00 and the 200-week simple moving average (green).
It seems like the price is likely to continue higher above $55.00 and $56.50. The next major resistance is near the $58.00 level. On the downside, the previous major resistance near $51.00 is likely to act as a strong support.
Looking at EUR/USD, there was no recovery and the pair extended its decline below 1.2060. GBP/USD is also struggling and it could correct lower below 1.3600.
Economic Releases to Watch Today
- Germany’s Services PMI for Jan 2021 - Forecast 46.8, versus 46.8 previous.
- Euro Zone Services PMI for Jan 2021 – Forecast 45.0, versus 45.0 previous.
- UK Services PMI for Jan 2021 – Forecast 38.8, versus 38.8 previous.
- Euro Zone CPI for Jan 2021 (YoY) (Prelim) - Forecast +0.5%, versus -0.3% previous.
- US Services PMI for Jan 2021 – Forecast 57.5, versus 57.5 previous.
- US ISM Services PMI for Jan 2021 – Forecast 56.8, versus 57.7 previous.
- US ADP Employment Change for Jan 2021 - Forecast 45K, versus -123K previous.