Over the past two weeks, gold has found a bottom down near $1,180 an ounce, and prices have been trying to break above the $1,220 key resistance level.
Prices should remain firm, and there could be more upward movement this week, to potentially test $1,250 or even $1,300 an ounce in coming weeks. This market looks to have enough upward momentum to move $50 to $100 higher in a short period of time.
While prices remain above recent lows at $1,180, traders can look to buy on any dips if possible this week.
Meanwhile, we remain bullish on crude oil while it is above the $49.30 and $50.80 support levels. This market is having some trouble at $54 resistance.
However, if the price can move through there and close above it, there is upside into the recent high of about $55.20 this week. This market is a potential buy on a pullback, but there is a lot of chop right now, so we are in hurry-up-and-wait mode until a signal forms.