The recovery in [gold] from the selling that commenced on February 27 has been muted, with prices starting the week lower. Bullish monthly trends shift below $652 at month's end; weekly trends (currently neutral) turn bearish at week's end just below $653. These higher time frame periods bear watching as consistency among them would provide a more conducive atmosphere in which to expect follow-through buying or selling.
As matters stand, the trends are too diffuse to have confidence of immediate strong directional activity; in addition, prices are near the exact center of the approximate $610-90 trading band in place since April, a poor spot in terms of trade location. Broader weekly support and resistance levels this week are $638-663.
In [oil], Apr futures touched 200-period moving averages precisely on hourly charts at today's $59.15 low before slipping below. Weekly bull trends were neutralized by the end of last week, and persistent monthly bear trends have not given up their defensive stance as long as prices are just below $61.
Converging 40- and 50-day moving averages near $58.50 underpin the market in the event of additional selling, coincidentally monthly pivot support as well. With weekly supports hit ($59), a break below $58.50-59.00 technically will point to high risk of hitting $56.50-57.50 this week.
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