Daily Commodity Coverage: March 31, 2020

<p><b>USD/CAD</b></p>
<p><img class="aligncenter size-large wp-image-40909" src="http://blog.tickmill.com/wp-content/uploads/2020/03/t1-5-1024×474.png" alt="" width="1024" height="474" srcset="https://blog.tickmill.com/wp-content/uploads/2020/03/t1-5-1024×474.png 1024w, https://blog.tickmill.com/wp-content/uploads/2020/03/t1-5-300×139.png 300w, https://blog.tickmill.com/wp-content/uploads/2020/03/t1-5-768×355.png 768w, https://blog.tickmill.com/wp-content/uploads/2020/03/t1-5.png 1271w" sizes="(max-width: 1024px) 100vw, 1024px" /></p>
<p><b>What happened previously?</b></p>
<p><span>USD liquidity issues are largely improved as Senate passes massive $2 trillion coronavirus spending bill. Equity market see signs of recovery.  USD rebounded and is near previous horizontal overlap resistance level. </span></p>
<p><span> </span><b>What can we expect? </b></p>
<p><span>We are seeing price to test 1st resistance at 1.42896 and there’s a oversold Stochastics providing support as well. 1st resistance 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-40910" src="http://blog.tickmill.com/wp-content/uploads/2020/03/t2-6-1024×465.png" alt="" width="1024" height="465" srcset="https://blog.tickmill.com/wp-content/uploads/2020/03/t2-6-1024×465.png 1024w, https://blog.tickmill.com/wp-content/uploads/2020/03/t2-6-300×136.png 300w, https://blog.tickmill.com/wp-content/uploads/2020/03/t2-6-768×349.png 768w, https://blog.tickmill.com/wp-content/uploads/2020/03/t2-6.png 1283w" sizes="(max-width: 1024px) 100vw, 1024px" /></p>
<p><b>What happened previously?</b></p>
<p><span>Price dropped slightly below our previous support and bounced from there. Oil slumped to a 17-year low as coronavirus lockdowns cascaded through the world’s largest economies, leaving the market overwhelmed by cratering demand and a ballooning surplus of crude. </span></p>
<p><b>What can we expect?</b></p>
<p><span>Our bullish view unchanged. We are seeing the price to retest the first support now at 21.76 and is likely to bounce from there. Stochastics are reaching a new low at 1.67 which serves as a good support for price. 1st support level happens to be where the 100% Fibonacci extension stands.</span></p>
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<p><b>XAUUSD</b></p>
<p><img class="aligncenter size-large wp-image-40911" src="http://blog.tickmill.com/wp-content/uploads/2020/03/t3-6-1024×474.png" alt="" width="1024" height="474" srcset="https://blog.tickmill.com/wp-content/uploads/2020/03/t3-6-1024×474.png 1024w, https://blog.tickmill.com/wp-content/uploads/2020/03/t3-6-300×139.png 300w, https://blog.tickmill.com/wp-content/uploads/2020/03/t3-6-768×355.png 768w, https://blog.tickmill.com/wp-content/uploads/2020/03/t3-6.png 1282w" sizes="(max-width: 1024px) 100vw, 1024px" /></p>
<p><b>What happened previously?</b></p>
<p><span>Our bearish call is still valid. Gold went lower as stock market showed relief and see more chances of rebound. </span></p>
<p><b>What can we expect?</b></p>
<p><span>We remain bearish as price is retesting our 1st resistance at 1641.66 and is likely to drop further from there. Stochastics is also showing some bearish momentum for a drop to happen. The 1st resistance 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-40912" src="http://blog.tickmill.com/wp-content/uploads/2020/03/t4-6-1024×471.png" alt="" width="1024" height="471" srcset="https://blog.tickmill.com/wp-content/uploads/2020/03/t4-6-1024×471.png 1024w, https://blog.tickmill.com/wp-content/uploads/2020/03/t4-6-300×138.png 300w, https://blog.tickmill.com/wp-content/uploads/2020/03/t4-6-768×353.png 768w, https://blog.tickmill.com/wp-content/uploads/2020/03/t4-6.png 1273w" sizes="(max-width: 1024px) 100vw, 1024px" /></p>
<p><b>What happened previously?</b></p>
<p><span>China on Tuesday said the official Purchasing Managers Index for March was 52.0, from the historical low of 35.7 in February, beating expectations of 44.8. Although a number above 50 does not indicate the economy is back, the improvement offers a glimpse of hope that the virus hit could be short lived.</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 2.30547.</span></p>
<p>The post <a rel="nofollow" href="https://blog.tickmill.com/tech-analysis/daily-commodity-coverage-march-31-2020/">Daily Commodity Coverage: March 31, 2020</a> appeared first on <a rel="nofollow" href="https://blog.tickmill.com">Tickmill</a>.</p>

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