Gold and Oil Markets Report – 12 June 2017 | DZHI - DZH International 
logo

Gold and Oil Markets Report – 12 June 2017

  • DAR Wong
  • 12 June 2017

Yellow metal hit double-top formation last week at USD1296 /oz before market slid. Middle East and UAE countries severe diplomatic ties and transport links with Qatar on last Monday pursuant to its link to Islamist militants like Muslim Brotherhood. Uncertainty arises due to investigation on President Trump and North Korea fires new missile test have injected discomfort into equity market. Precious metals are being sought after as safe haven.

Gold prices have moved into consolidation after topped off recent high at USD1296 /oz. This week, the trend may drive lower to USD1250 /oz as a correction before bargain-hunting arises. Technically, we forecast the trend will swing from USD1250 – USD1285 /oz in mixed sentiment for a while. Ascending to USD1290 /oz or higher may resurge another new opportunity to pierce above USD1300 /oz in case of unexpected and erupting factors.

WTI Crude prices traded on low edge around USD46 /oz amid light activity as investors distracted to European fundamentals last week. This week, we foresee the Dollar Index (USDX) movement resulting from FOMC meeting will create an impact to Crude trend. Technically, the market may move in tight range from USD45 – USD48 /barrel but the likelihood of driving beneath USD45 /barrel could trigger a panic selling to USD42 /barrel if the support is broken.

Silver prices fizzled out from USD17.75 /oz last week after fell short from our predicted target at USD18.00 /oz. This week, we expect bear trend to follow through in order to complete the correction. Downside target is identified at USD16.80 /oz region while selling pressure is expected to ambush at USD18.40 /oz area. Mixed trading is expected in coming week before bargain-hunting arises from aforementioned bottom.

Crude Palm Oil (FCPO) Futures on Bursa Derivatives traded lower last week but hit expected supported at RM2450 /MT before weekend. Rising output and weak export have deterred the escalating prices. August contract closed at RM2453 /MT on Friday. This week, we expect some short-covering over the rolling period to September contract while resistance lies at RM2520 /MT level. Breaking below RM2450 /MT might trigger a new selling pressure to RM2300 /MT area.

 

 

Disclaimer: This article is written for general information only. No liability by the writers, publisher or any third party involved in the distribution of this work.  

 

DAR Wong and Chong HC are the market strategists in APSRI on CPO markets. DAR has 27 years of trading and hedging experiences while HC trades for 9 years and now coaches institutional customers. They can be reached at www.pwforex.com


About the Author
DAR Wong (Singapore)
An international speaker with 27 years of trading experience in the global financial markets, DAR is a Market Master and author of “Living Daylight in Stock Market: Monetizing Your Profits in 8 Days”.

DAR Wong is an active market trader, registered fund manager, educator and author.He began his career in 1989 as an institutional Futures trader with Bank of America. DAR Wong specializes in trading global derivatives and financial markets. He has 26 years of experience accumulated through tenure with Bankers Trust, Barclays Bank, Citigroup (Smith Barney Shearson Inc) and as an independent trader.

DAR is the author of “8 Ways to Invest in China’s Emerging Market” and contributes frequently to regional media, including financial TV/Radio programmes, newspapers and magazines for professional traders and active investors.

He is a popular and sought after international speaker who has presented to financial professionals and investors throughout the region including Singapore, Malaysia, Indonesia, Thailand, Hong Kong, China, Cambodia, Myanmar, Philippines, Sri Lanka, India, South Korea, Laos, Vietnam, United Kingdom and Middle East (UAE).

DAR is registered with NASD (now known as FINRA) series 3 and 5 as approved by National Futures Association (NFA) of USA and holds a current portfolio as Fund Strategist and Advisor with Dektos Investment registered with Monetary Authority of Singapore.

DAR is profiled as “One of the most successful traders – Market Masters” in Brent Penfold’s bestselling book “The Universal Principles of Successful Trading “. In January 2015, DAR was honored with Outstanding Award for International Financial Market Analysis granted by ASEAN Commerce (Thailand).

DAR is the author of "8 Waysto Invest in China's Emerging Market" and contributes frequently to regional media, including financial TV/Radio programmes, newspapers and magazines for professional tradersand active investors.1

He is a popular and sought after international speaker who has presented to financialprofessionals and inverstors throughout the region including Singapore, Malaysia, Indonesia, Thailand, Hong Kong, China,Cambodia, Myanmar, Philippines, Sri Lanka, India, South Korea, Laos, Vietnam, United Kingdom and Middle East(UAE).2


Year
2003 - Set up ASPRI to provide hedging advisory for corporate clients and training for financial professionals
2009 - Released first book “8 Ways to Invest in China’s Emerging Market”
2010 - Profiled as “one of the most successful traders – Market Masters” in Brent Penfold’s bestselling book “The Universal Principles of Successful Trading” along with Larry Williams, Andrea Unger, Michael Cook, and Daryl Guppy etc
2011 - Received “Spirit of Enterprise”awarded by Singapore Management University in Singapore
2012 - Honored with Individual Diamond Career (Thailand) awardedby Royal Privy Council of Kingdom of Thailand
2013 - Appointed Vice Chairman of ASEAN-China Commerce Association and led a delegationtothe annual China-Asean Expo in Guangxi Province, China
2014 - Fund Manager cum Director in Dektos Investment Corporation registered with Monetary Authority of Singapore
2015 - Released new book “Living Daylight in Stock Market - Monetizing Your Profits in 8 Days” in January
2015 - Honored with Outstanding Award in International Financial Market Analysis awarded by ASEAN Commerce (Thailand)
2016 - Honored with Medal of Integrity by Royal Councilin Palace of Palembng, Indonesia

References

1.TV programs on ChannelNewsAsia (Singapore);Radio on 95.8 Capital (Singapore); Newspapers such as The Borneo Post (Malaysia), 资汇报 (Malaysia); Regional financial magazines such as The Analyst (India), 东盟商界(ASEAN, China), 资本杂志 (Malaysia).

2.Spoke at events for CME Group, Euronext LIFFE, Tokyo Commodity Exchange, Singapore Exchange, Korea Exchange, Bursa Malaysia, Thailand Futures Exchange, Jakarta Futures Exchange, Indonesia Commodity and Derivatives Exchange, Tokyo Commodity Exchange, Interactive Brokers, Xinhu Futures, Hangzhou Money Fair, China (Shenzhen) International Finance Expo, China (Guangzhou) International Finance Expo, Euromoney, CIMB, Maybank, RHB, UOB Bank, Asia Trader & Investor Convention, Global Rubber Conference, International Rubber Conference, Malaysia Rubber Board, International Rubber Research and Development Board,Malaysia Ministry of Agriculture, Rubber Industry Smallholders Development Authority, Vietnam Rubber Association, Cambodian Rubber Association, Bureau of Agriculture Research Philippines, Myanmar Rubber Planters & Producers Association etc.