CFDs are a leveraged product and can result in losses that exceed deposits. Trading CFDs may not be suitable for everyone, so please ensure you fully understand the risks and take care to manage your exposure.

Technical analysis: key levels for gold and crude

Gold continues to hold on to most of its gains from Friday, while oil prices appear to be breaking lower. 

CFDs are a leveraged product and can result in losses that exceed deposits. Trading CFDs may not be suitable for everyone, so please ensure you fully understand the risks and take care to manage your exposure.
Silver
Source: Bloomberg

Gold eyes $1097

Having bounced on Friday, gold has now drifted lower, but for now the $1082.30 level is providing good support.

Dips towards $1077 may continue to bring out buyers, allowing the price to move through Friday’s high of $1089. This would then target $1097 as the next area to watch for. 

 

Brent could find support at $42.32

Continued downward momentum seems to be the rule here, after the OPEC meeting on Friday.

Key support around $42.32 for Brent, both from last week and late August, is to be watched carefully, with a move through here heading towards $41.43.

A bounce would run into resistance around $44.46.

WTI could challenge $41.55

Having dropped through key support at $40, WTI now looks to be headed towards $38.18.

Further support is possible at $36.77. Any bounce needs to get back above $40 and then challenge $41.55  

This information has been prepared by IG, a trading name of IG Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.  Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. 

CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.