Gold remains trapped in a bull flag pattern

Gold remains trapped in a bull flag pattern as I have been warning for many days now.

• We are waiting for the completion of the consolidation phase & bull flag pattern for clearer signals.

• Yesterday we bounced from my target of 3245/40 after profit taking on our shorts exactly as predicted.

• We beat minor resistance at 3280/85 to hit the next target of 3310/15.

• Upper trend line resistance at 3336/3340 today - shorts need stops above 3345.

• A break higher is a buy signal - we will assume that the longer term bull trend has resumed.

• Targets: 3365/70 & 3395/99.

• Shorts at 3336/3340 can target 3318/15 & perhaps as far as 3280/75.

• Further losses can retest minor support at 3245/40.

• A break below 3235 risks a slide to 3210/3200 today.

Silver 

• Silver STILL holding the upper end of the range around 3355/3375 (for around a month) as predicted.

• Holding the upper end of the range this week around 3355/3375 targets 3330/20, perhaps as far as 3280/70 today.

• A low for the week exactly here for the last few days and again yesterday in fact.

• The levels are working well if you are scalping the sideways trend.

• Watch the range from 3280/70 up to 3355/75 again today of course.

• A break above 3380 however could be a buy signal targeting 3395/99 & 3420/25. A break below 3250 risks a slide to 3220/3200.

WTI Crude July future

Last session low & high: 6055 - 6307

(To compare the spread with the contract that you trade).

WTI Crude July contract trades in a 6 week range from 5495/5435 up to 6340/6410. We have held a range this week from 6026 up to 6307 and this week we have held inside of last week's range of 6002 - 6419.

We could have minor resistance at 6240/70 although we beat this level without a problem yesterday.

Further gains retest 6340/6410. A break above 6420 targets 6550/80.

We have a 2 week low at 6025/6002. A break below 6000 risks a slide to 5950/30 & as far as 5800/5770.