Brent/Gold Report – 19 June 2024

Please find attached the monthly update on Gold and Brent Oil. The respective views remain in line with recent price action.
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GOLD – DAILY

VIEW RETAINED: GENERAL BULL TREND TO T1 AND T2

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Level: 2340

Long term: The encircled numbering illustrates the overall bull trend with subdivisions to T2.

Medium term: The current bull trend is potentially busy developing a R1/S1 continuation pattern  (4) that should soon result in gains to T1.

  • A WXY type correction off T1 would still be part of the larger bull trend to T2.

Short term:  The current abc consolidation is potentially in the final c phase to S0* where a bullish reversal can occur.

  • Overbought market conditions have been addressed during this consolidation (see RSI oscillator)

Levels: S0* is the important level for the bullish case. A break will  require re– assessment and indicate a different scenario. 

Conviction: Medium to high

 

BRENT– DAILY

VIEW RETAINED: ABC TYPE BULL PHASE

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Level: 8548

Long term: The illustrated moves remain part of a larger bottoming phase that should remain above S1 over time.

Medium term: The WXY type downside has ended  at SM, slightly short of the S1 target level.

  • The expected ABC bull phase is materializing and should target R1 and R2* before completion. This would be followed by further R2*/S0* range trading.

Short term: R0 could become and interim top and the end of phase A, with B developing into a R0/S0* consolidation.

Important levels:  A break of R2*  will neutralize the longer term R2*/S1 consolidation phase. Breaching S0* will negate the medium term ABC advance outlook to R1/R2*. 

Conviction: Medium to high

 

This report is for informational purposes only, does not constitute an offer, or solicitation to trade and should not be construed as a recommendation, or advice, to enter into, or to refrain from entering into, any transaction.

Whilst the information herein contained is believed to be reliable, no responsibility is assumed by Hite Investments and Consulting, (Pty) Ltd., their employees, associates, external contributors, or any of the references used, for any errors, or omissions, or for losses of any nature which may arise from any opinion expressed herein.

You are cautioned that information is not necessarily complete and that opinions of individuals employed at the above may differ, or be based on contrary analysis techniques andthat opinions may change over time.

The losses in trading and investing can be substantial and you should not engage in such trading and investing unlessyou fully understand all the potential risks.

The views expressed in this report may change over time and updated reports will not necessarily be issued should this occur.

Red Line: “Roadmap” – A visual representation of proba-ble future price action. A perforated red line suggest various proba-ble outcomes with the perforated line being

Blue Line: Trend Lines that constitute important sup-port / resistance or break levels

TA – Target area
MA – Moving average
R – Resistance
RA – Resistance area
MR – Minor Resistance
MS – Minor Support
MTR – Medium Term Resistance
MTS – Medium Term Support
SA – Support Area
S – Support
T – Target
* or ** – Significance of level

The intention of this analysis is to give the reader a visual picture of the most probable price path that could develop over time. This is enhanced by adding crucial levels where the proposed view becomes dubious and needs to be re-assessed (or confirmed). The benefit of this approach is that of an easy to understand and almost instantaneous grasp of the analysts view. This kind of analysis is not intended to be exact in predicting levels, and especially timing of moves, but to give a more general probability view that is easily understandable and unambiguous. The proposed “roadmap” gets adjusted over time as new price information becomes available. All technical views have re-assessment or negation levels where the proposed preference is no longer valid or needs to be re-assessed.