Today's outlook for Gold & Oil
Monday, October 05, 2009
by Carol Harmer of Technical Analysis Reports
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Gold bounced off 987-breaking to 1009. Today the market is overbought on the short term charts and only above 1013 would negate downside moves.
1009 remains good resistance and sellers will be in here at these highs looking to drive the market lower. Below 1001 sees this come back to 998 initially. Sellers are going to try and drive this lower from here, and they will then be looking for 990 to 985 once more. This is a good support band and unlikely to break.
Resistance as stated is located at 1009. If this point does break look for this to come higher with 1012/13 the targeted. Now this resistance should hold an attack at it, so sell to here and only reverse if 1013 breaks. Then you will see the market coming higher for 1017/1021.
http://www.charmercharts.com/
Unless Oil can break and hold above the trendline today which comes in at 70.42 you will seethis come lower back to the 69.55/21 support initially, with a break of 69.20 sending this alot lower for 68.75/66 then onto 68.30. Here cover shorts. Re-sell a break below 67.99. A loss of this support sees the market come back to 67.30 where all short positions are to be covered.
Now if the trendline breaks at 70.42 there is scope for this to trade higher with 71.40/47 then targeted. Here once more look to cover all longs. Re-establish longs over 71.70 for 72.10 to 72.65.
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.
