Commodity Blog » price patterns

Oil in Downward Channel, Bearishness is Expected

Commodity Inspector — Sun, 16 Oct 2011 21:39:27 +0000

The oil price entered the downward channel, promising a bearish tendency for the commodity. For those traders, who wish to follow the bearish trend, the green line shows a potential target where traders may start taking profit. In case the prices close above the channel a breakout is likely occur. In such case the red line would point at a potential stop-loss level. Traders should remember that fundamentals, especially the situation in Europe, currently have a great impact on the commodity market, so they may interfere with technical analysis and should also be taken into account. Click the image to enlarge it to a full-size screenshot:

If you have any questions or comments regarding this chart pattern for oil, please feel free to reply below.

Posted on Commodity blog.

Warning: Pennant Pattern on Silver Chart

Commodity Inspector — Sun, 19 Jun 2011 11:41:33 +0000

The pennant pattern can be seen of the daily silver chart. It resemble the flag pattern, but instead of moving in reverse to previous and future direction, as on the flag patter, prices on the pennant pattern consolidate before breaking out. As the flagpole on the current pattern points down, a breakout to the downside is expected. The pattern support the seasonal tendency of the metal to be weak at this period of year. Click the image to enlarge it to a full-size screenshot:

If you have any questions or comments regarding this chart pattern for the silver, please, feel free to reply below.

Posted on Commodity blog.

Head-and-Shoulders Pattern on Daily Copper Chart

Commodity Inspector — Sun, 03 Apr 2011 11:55:25 +0000

We can see a head-and-shoulders pattern on the daily chart of copper. This pattern often shows that price can’t continue to go in its previous direction and should reverse its trend. On this chart we see that copper wasn’t able to rise above the ”head” level ($10,160) and stalled at the ”shoulders” level ($9,784). The green line shows the target ($8,066) in case the price will break below neckline ($9,114). This target is derived by subtracting the height of the pattern from its lowest level. The technical analysis shows that copper is endangered in the shorter term, even though fundamentally the industrial metal looks attractive. Click the image to enlarge it to a full-size screenshot:

If you have any questions or comments regarding this chart pattern for the copper, please, feel free to reply below.

Posted on Commodity blog.

Symmetrical Triangles Pattern on Oil Chart

Commodity Inspector — Sun, 06 Mar 2011 21:08:07 +0000

A symmetrical triangles pattern has formed on the chart for Brent crude oil (4-hour time frame). This pattern appears as swings on the chart start to narrow, signaling that a breakout may occur soon. Often a breakout shows direction in which commodity price will move in near term. The numbers on the current chart shows the possible targets when a breakout will occur. Usually, a breakout occurs to the direction of the previous trend. The present pattern isn’t ideal as the triangles aren’t completely symmetrical and it’s possible for the price to behave somewhat differently from the prediction. Click the image to enlarge it to a full-size screenshot:

(...)
Read the rest of Symmetrical Triangles Pattern on Oil Chart (16 words)

Posted on Commodity blog.

Flag Pattern on Gold Chart — Good News for Gold Bulls

Commodity Inspector — Sun, 06 Feb 2011 14:57:17 +0000

You can see a flag chart pattern on the oil chart (4-hour time frame). The chart is named so obviously because it resembles a flag. It consists of a ”pole”, marked by the vertical yellow line on the chart, and a ”flag”, or the two parallel lines on the chart. The ”pole” marks a strong move of prices, while the ”flag” shows a small correction of prices in a small range (marked by the ”flag” or the parallel line on the chart) as prices take a breather after an initial strong move. This chart signals that the correction is a temporary pause before the prices will move in the direction of the initial strong move, in this case the next wave will be bullish. It’d be welcomed by gold bulls, who may be quite disheartened after the weak January performance of the precious metal. The price should rally after it breaks through the upper level of the ”pole”. Click the image to enlarge it to a full-size screenshot:

If you have any questions or comments regarding this chart pattern for the gold, please, feel free to reply below.

Posted on Commodity blog.

Symmetrical Triangle Pattern in Brent

Commodity Inspector — Sun, 31 Oct 2010 16:39:15 +0000

The chart shows that the oil is consolidating, demonstrating the symmetrical triangle pattern. At this stage the trend can be considered neutral and a breakout may occur in any direction, establishing a new trend. The yellow lines show probable target levels in case of a breakout. Click the image to enlarge it to a full-size screenshot:

If you have any questions or comments regarding this chart pattern for the oil, please, feel free to reply below.

Posted on Commodity blog.

Video: Weekly Gold Forecast

enivid — Sat, 07 Aug 2010 08:14:19 +0000

Judging from the chart’s structure and Japanese candlestick patterns, the author of this commodity forecast video offers his vision of the future of gold trading. The bottom formed last week was a pivotal point on the daily chart. It’s a lower low that’s usually followed by lower high. Traders may expect a top to form somewhere between $1,215.00 and $1,235.00, before the gold will be able to decline farther.

(...)
Read the rest of Video: Weekly Gold Forecast (37 words)

Posted on Commodity blog.

“Death Cross” Confirmation in Commodities

enivid — Thu, 17 Jun 2010 08:35:29 +0000

Michael Hewson of CMC Markets speaks about the confirmation of the so called “death cross” in the broad commodity index chart. It’s a cross of the 50-day moving average below 100-day moving average. The pattern was followed by the bearish trend 3 times out of 4 during the last 10 years. The ”death cross” pattern is also confirmed by the head-and-shoulders pattern on the weekly chart of the commodity index.

(...)
Read the rest of “Death Cross” Confirmation in Commodities (34 words)

Posted on Commodity blog.

Crude Oil — Acsending Triangle Chart Pattern

Commodity Inspector — Sun, 02 May 2010 18:32:41 +0000

The ascending triangle pattern has formed on the 4-hour chart of crude oil. The pattern is confirmed, as the price rate touched twice the horizontal line and the upwardly sloping line (at $83.35 level and near $85.15), and suggests the bullish trend for the oil. The level near $85.70 is the resistance level, above which the breakout should occur to support the outlook that the price is actually going to rise further. Click the image to enlarge it to a full-size screenshot:

(...)
Read the rest of Crude Oil — Acsending Triangle Chart Pattern (17 words)

Posted on Commodity blog.

Symmetrical Triangle Chart Pattern on Corn

Commodity Inspector — Sun, 07 Mar 2010 10:21:33 +0000

On the daily chart of a corn a symmetrical triangle pattern has formed.The downward breakout is probable as this pattern tend to break in the direction of the previous trend. But symmetrical triangle can break in any direction, so you can wait for a breakout to see where the price is going and minimize the risk. Anyway, in this case the pattern is weak and, wherever the price will be going, movement should not be strong. Click the image to enlarge it to a full-size screenshot:

(...)
Read the rest of Symmetrical Triangle Chart Pattern on Corn (16 words)

Posted on Commodity blog.

Will Gold Reach New Record? Copper Scrap Deficit

Commodity Inspector — Thu, 04 Mar 2010 22:52:46 +0000

Analysts forecast that gold priced in euro will continue to hit new highs. When price will reach its previous peak a cup and handle pattern may occur as investors start selling, causing some decline in price. After that price tend to rise greatly. Gold rose to 836.98 euro per ounce, an all-time record, on March 2nd.

Copper scrap discount to New York-listed futures declined by half in two months on deficit of used metal. Demand for the copper is rebounding on speculation that economic recovery will increase consumption. In the same time, scrap copper becoming scarcer because of harsh winter in the U.S. as snow hampers collection of scarp. May delivery for copper shrunk 0.3 percent to $3.4245 per pound by 11:17 on NYMEX.
(...)
Read the rest of Will Gold Reach New Record? Copper Scrap Deficit (12 words)

Posted on Commodity blog.

Sugar Falls as Dollar Advance; Will Hogs Reach $0.75?

Commodity Inspector — Fri, 15 Jan 2010 19:24:35 +0000

Sugar dropped after the dollar gained, cutting appeal of some riskier assets. The greenback gained 0.7 percent versus a basket of six major currencies. The rising dollar puts some commodities under pressure. March futures for raw-sugar delivery slid $0.0014 (0.5 percent) to $0.2762 per pound as of 9:48 on ICE.

Hog futures reached the nine-months high as rising demand for the meat pushed the U.S. wholesale-pork prices to the record in 15 months. Wholesale pork climbed 8.4 percent to $0.7305 per pound yesterday, the highest level since October 2008. Analysts say that historical price patterns show the possibility for wholesale pork to reach $0.75 per pound before going down. April futures for hog settlement added $0.0065 (0.9 percent) to $0.734 per pound by 11:00 on the Chicago Mercantile Exchange.
(...)
Read the rest of Sugar Falls as Dollar Advance; Will Hogs Reach $0.75? (12 words)

Posted on Commodity blog.