Commodity charts roundup: Gold and copper running into trouble?

Tuesday at 11:46 GMT

Gold struggles to escape the 1225-31 zone
A break of resistance would turn bias bullish
Copper just failed at big-time resistance

Gold (June ’15 Futures), as per my piece last week cannot get through the 1225-31 zone and continues to struggle to convince at these levels. In Asian trade yesterday we got a jump up to 1232 but that was as good as it got and once our friends over the pond woke up we saw sellers reacting. The net result was a Shooting Star, as highlighted in Steve O’Hare’s Saxo TV slot this morning.

This is a powerful reversal pattern and has arrived/been posted at key resistance.
The key short-term supports I’m now watching are 1210.3 and 1203.5. If these two broke we’d be putting some distance on 1225-31 and the bears would most likely continue to take us lower.
Remember if we can get through 1225-32 the skew immediately flips to bullish and the upside target becomes 1292.

Copper (Jul ’15 Futures) is getting interesting and has just failed at a massive resistance (former support, and Fibonacci) level at 295.60. This morning saw weakness to give a small “double top” sell signal when 288.80 broke, but we’ve already done a chunk of this move. Supports to watch/target on further weakness are 283 then 275.

Brent Crude (July ’15 Futures) has set a weaker tone in the last few days, and posted a candle with a long-ish upper shadow yesterday, then broke a short-term uptrend line. Now we have a big question to ask: “Can we hold 65.00?” If the answer is no we get a sell signal targeting 63.07. However if we hold above 65.00 I think we’ll head higher once more. So that’s a key level.

The US Natural Gas (June ’15) bulls have been trying hard lately and this is looking good to head to 3.302 now to fill a gap left back in December. I would like to see 3.000-12 holding as support now to encourage this idea. Be aware, though, that July is close to taking over as front month. In this one 3.050-060 is the key support that it would be good to see holding to encourage a move to the gap between 3.292 and 3.341.

Corn (July ’15) has been behaving well lately with respect to the Fibonacci lines. We have a key support level at 355. If this keeps holding look for a move through 372 and 378 to target 396.

– Edited by Clare MacCarthy