Commodity prices have made headway, with gold beginning to show signs of forming a higher low and oil prices pushing higher again.

​Gold prices have pushed higher for a second day, after testing the 50-day simple moving average (SMA) yesterday.

​A higher low could be forming, which would help reinforce the uptrend and put the price back on course to the December highs.


​Sharp gains yesterday came as US and UK forces began an attack on Houthi targets in Yemen in response to attacks on shipping in the Red Sea.

​The price has continued to consolidate this week, holding above $70 as it has done throughout January. However, the 50-day SMA continues to cap gains. A close above the 50-day SMA is needed to put the price on course to challenge the December high at $76.20.

​A drop back below $70 marks a more bearish development, breaking resistance and pointing towards additional downside.

Natural Gas Holds Above 200-day Moving Average

​A substantial rally off the December lows took a knock this week, though the overall bounce is still intact.

​With the price now holding above the 200-day SMA, the next move may be a challenge of the 3000 level, which saw sellers emerge this week.

​​Beyond this the price heads on to 3200 and 3400, while rising trend line support from the December lows comes into view around 2700.