Daily Commodity Coverage: April 1, 2020

<p><b>USD/CAD</b></p>
<p><img class="aligncenter size-large wp-image-40978" src="http://blog.tickmill.com/wp-content/uploads/2020/04/q1-1024×471.png" alt="" width="1024" height="471" srcset="https://blog.tickmill.com/wp-content/uploads/2020/04/q1-1024×471.png 1024w, https://blog.tickmill.com/wp-content/uploads/2020/04/q1-300×138.png 300w, https://blog.tickmill.com/wp-content/uploads/2020/04/q1-768×353.png 768w, https://blog.tickmill.com/wp-content/uploads/2020/04/q1.png 1272w" sizes="(max-width: 1024px) 100vw, 1024px" /></p>
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<p><b>What happened previously?</b></p>
<p><span>USDCAD dropped nicely from our previous 1st resistance at 1.43398 and is heading south towards 1st support at 1.40165. USD strength is largely affected by the increasing death toll and confirmed cases in the U.S., but this affect the outlook of CAD more as crude oil see bearish pressure from the demand side.</span></p>
<p><span> </span><b>What can we expect? </b></p>
<p><span>We are seeing price to test 1st support at 1.40165 and there’s a oversold Stochastics providing support as well. 1st support  level is a confluence level of horizontal overlap resistance and 61.8% Fibonacci retracement. </span></p>
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<p><b>UKOIL</b></p>
<p><img class="aligncenter size-large wp-image-40979" src="http://blog.tickmill.com/wp-content/uploads/2020/04/q2-1024×468.png" alt="" width="1024" height="468" srcset="https://blog.tickmill.com/wp-content/uploads/2020/04/q2-1024×468.png 1024w, https://blog.tickmill.com/wp-content/uploads/2020/04/q2-300×137.png 300w, https://blog.tickmill.com/wp-content/uploads/2020/04/q2-768×351.png 768w, https://blog.tickmill.com/wp-content/uploads/2020/04/q2.png 1268w" sizes="(max-width: 1024px) 100vw, 1024px" /></p>
<p><b>What happened previously?</b></p>
<p><span>Price dropped nicely from our previous resistance. Oil  bounced from recent 17-year low as China’s March PMI printed to the upside surprise. But as Covic-19 situation still spreading fast in the rest of the world, oil demand side stays weak.  </span></p>
<p><b>What can we expect?</b></p>
<p><span>We turn bearish for today’s trading.  We are seeing the price to retest the first resistance at 27.89 and is likely to drop from there. Stochastics are reaching a new high at 100.62 which is a sign of bearishness. 1st resistance level happens to be where the 38.2% Fibonacci retracement lines up with recent horizontal swing high. </span></p>
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<p><b>XAUUSD</b></p>
<p><img class="aligncenter size-large wp-image-40980" src="http://blog.tickmill.com/wp-content/uploads/2020/04/q3-1024×466.png" alt="" width="1024" height="466" srcset="https://blog.tickmill.com/wp-content/uploads/2020/04/q3-1024×466.png 1024w, https://blog.tickmill.com/wp-content/uploads/2020/04/q3-300×136.png 300w, https://blog.tickmill.com/wp-content/uploads/2020/04/q3-768×349.png 768w, https://blog.tickmill.com/wp-content/uploads/2020/04/q3.png 1291w" sizes="(max-width: 1024px) 100vw, 1024px" /></p>
<p><b>What happened previously?</b></p>
<p><span>Our bearish call went well. Price dropped towards our previous 1st support. XAU reversed off our previous 1st resistance.</span></p>
<p><b>What can we expect?</b></p>
<p><span>We turn bullish as price is bouncing off our  1st support at 1569.79 and is likely to rise further from there. Stochastics is also showing signs of oversought for a bounce to happen. The 1st support happens to be where 76.4% Fibonacci retracement and 127.2% Fibonacci extension lines up well and could serve as a key resistance level. </span></p>
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<p><b>XCUUSD</b></p>
<p><img class="aligncenter size-large wp-image-40981" src="http://blog.tickmill.com/wp-content/uploads/2020/04/q4-1024×467.png" alt="" width="1024" height="467" srcset="https://blog.tickmill.com/wp-content/uploads/2020/04/q4-1024×467.png 1024w, https://blog.tickmill.com/wp-content/uploads/2020/04/q4-300×137.png 300w, https://blog.tickmill.com/wp-content/uploads/2020/04/q4-768×351.png 768w, https://blog.tickmill.com/wp-content/uploads/2020/04/q4.png 1275w" sizes="(max-width: 1024px) 100vw, 1024px" /></p>
<p><b>What happened previously?</b></p>
<p><span>XCU rose nicely after China on Tuesday said the official Purchasing Managers Index for March expanded, boosting market sentiment. Although the number of confirmed cases of Covic-19 continues to rise, the market shows more hope for manufacturing industry to rebound.</span></p>
<p><b>What can we expect?</b></p>
<p><span>Our bullish view unchanged. We are seeing the price to break above the upside confirmation at 2.2382, which happens to be where the 50% Fibonacci retracement. If price can break above the upside confirmation, more upside is possible towards 1st resistance at 2.30794.</span></p>
<p>The post <a rel="nofollow" href="https://blog.tickmill.com/tech-analysis/daily-commodity-coverage-april-1-2020/">Daily Commodity Coverage: April 1, 2020</a> appeared first on <a rel="nofollow" href="https://blog.tickmill.com">Tickmill</a>.</p>