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Technical analysis: key levels for gold and crude

Losses continue for WTI, while gold is struggling to recover gains made earlier in the week.

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.
Worker checking oil barrels
Source: Bloomberg

Gold recovers, but still looks fragile
Although the price has recovered somewhat overnight, it still needs to get back above $1244 to confirm more gains are on the way. Even then, it will find itself trapped below the rising trendline around $1265.

A move below $1224 would suggest we will retest the lows of Monday at $1210, with a bigger move down taking the price to the rising trendline and the $1190 area.

WTI retreat set to continue
The break below $38 and key support suggests the retreat in the price will go on. The next area to watch is the second weekly support pivot at $36.39, with $34.44 below that.

If the price cannot get back above $38 then it looks like rallies will continue to be sold. 

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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.