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Weekly Commodities Report - Natural Gas Breakout

Published 06/12/2016, 02:59 pm
Updated 06/07/2021, 05:05 pm

Originally published by AxiTrader

Cocoa has been consolidating in the past few trading weeks, but the downtrend remains strong overall, as any decent rally is met with solid selling interest. The key level to watch to the downside is $2245, and a break below would pave the way for a test of $2134 and eventually $2026 (2012 low).

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COCOA.H4

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COCOA.Weekly

Coffee short-term techs have turned bearish following the break below $150 support. The commodity has found support near $143, but further losses seem likely, and there is little support now until the 200 DMA around $140, followed by the August low at $134.67. To the topside, expect decent resistance close to $154 and around $160.

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COFFEE.Daily

Copper - while momentum has paused, it remains in a fairly strong uptrend. The topside was capped at $2.75 two weeks ago, but a retest seems likely. A clear break above would signal that we'll likely see a test of $2.97-$3.00 resistance soon. To the downside, expect strong support at the former resistance area between $2.27 and $2.33.

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COPPER.H4

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COPPER.Weekly

Natural Gas has rallied along with Oil, and has reached a high of $3.65 yesterday, a fresh two-year high. The technical outlook is bullish, and there is now not much resistance seen until $3.95/$4.04, which are the late 2014 highs. Meanwhile, strong support can be expected at $3.36, which previously acted as key resistance level.

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NATGAS.Daily

Silver is struggling after it failed again to break above the $17 level. The 21 DMA has capped the topside for now, and the outlook is bearish. The next bear target is $16.15, followed by the late May 2016 low at $15.80.

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XAGUSD.Daily

Gold - the rally following the bounce off $1155 has been weak as well, and $1175 resistance proved to be tough. Expect strong selling interest in the former support area around $1200, while support can be expected at early 2016 lows at $1128 and $1072.

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XAUUSD.H4

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XAUUSD.Weekly

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