Gold, Silver & Oil

As of 7:12 p.m., EST, gold futures GCQ25 are steady-to-up, about +0.42%.

Silver futures SIN25, are flat +0.08%, so neither metal is moving decisively.

Oil is a different story.

Futures CLN25, had a gap-higher open, printing just below last Friday’s high of 77.62.

In just the hour so from the open, that contract is now retracing lower, nearing Friday’s close.

That means, when looking at the chart of USO below, current price action is within the upper range of Friday’s trading.

United States Oil Fund, USO, Daily

The last update on oil, had this:

“If oil and related markets like XOP, can’t hold or surpass those highs, well then, we have our answer (not advice, not a recommendation).”

Friday’s volume was characteristic of a blow-off move.

As noted on the chart, last time there was comparable volume, printed over three years ago; USO peaked, retraced, made slight new highs, then sideways-to-down, for years.

Stay Tuned

Charts by StockCharts

Note:  Posts on this site are for education purposes only.  They provide one firm’s insight on the markets.  Not investment advice.  See additional disclaimer here.

The Danger Point®, trade mark: No. 6,505,279