Tweet this

Dealing Desk Hotline

(603)-2181 8848

Gold and Oil Markets Report – 29 February 2016

A guest post written by DAR Wong and Chong HC

Dollar Index (USDX) traded higher last week to 98.00 regions as short-covering rose in market. Crude inventories increased to 3.5 million barrels in the week ended 19 February did not initiate sell-off in Crude prices as G20 leaders met in Shanghai to discuss recovery solution for global recovery. Gold has been trading sideways as Silver dropped before weekend. Gold/Silver ratio reached historical high at 83.00 levels on Friday indicating an imminent downfall in the ratio index, which will soon trigger rise in precious metals.

Crude Oil

WTI Crude prices closed at 32.00 levels for the weekend and indicates an imminent recovery to occur. This week, we foresee the trend will make initial dip below 30.00 levels to 27.00 bottoms before it bounces up higher. Range is expected to move from 27.00 – 34.00 regions but piercing above the aforementioned resistance will likely attempt 38.50 levels as our next targets.


Gold prices traded sideways from 1200.00 to 1250.00 regions in mixed sentiments. Technically, we are optimistic in projecting an uptrend in yellow metals but possibly will see a final corrective drawdown this week. Support may test at 1200.00 levels for one more time before the bulls charge up. On breaking above 1250.00 resistances, we reckon the prices will escalate to 1300.00 regions.


Silver prices fell on Friday to 14.680 regions as USDX rose to 98.00 levels. The market is making good corrective drawdown for buying opportunity after topped off 15.940 as recent highs. This week, we expect support to hold well at 14.600 areas and possible recover to 15.300 regions for consolidation. Expect more price escalation in coming weeks for Silver as the Gold/Silver ratio will decline soon!

Crude Palm Oil

Crude Palm Oil Futures (FCPO) on Bursa Malaysia Derivatives traded in mild correction as it stood above 2500 supports. May contract settled at 2544 on Friday at flat sentiment. Technically, we reckon the trend will climb higher this week with support lies at 2500. Immediate resistance might test again at 2620 – 2640 regions if the bulls charge up again.

Dar Wong

This post is contributed by OPF Guest Bloggers, DAR Wong and Chong HC

DAR Wong and Chong HC are the market strategists in APSRI on CPO markets. DAR has 26 years of trading and hedging experiences while HC trades for 7 years and now coaches institutional customers. They can be reached at

Subscribe to OPF Blog via Feed Reader or Email

DISCLAIMER: This post is written for general information only. The author, publisher and/or any third party involved in the distribution of this work assume no legal responsibilities and shall have no liability whatsoever for any direct or consequential losses, costs or expenses arising from the use of the information contained herein.


Share and Enjoy:
[] [Digg] [Facebook] [Google] [Mixx] [MySpace] [Twitter] [Windows Live] [Yahoo!] [Email]

Post a Comment

Displayed next to your comments.

Not displayed publicly

If you have a website, link ti it here


OPF reserves the right to delete comments that are snarky, offensive, or off-topic. If in doubt, read our Comments Policy.