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CFDs are complex financial instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. CFDs are complex financial instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.

Technical analysis: key levels for gold and crude

Gold’s retreat continues, but oil has managed to push higher. 

Oil pump
Source: Bloomberg

Gold continues to fall

There has been little sign of buying pressure in gold since it failed to break $1220. Having fallen below $1190, it looks like we will see a push to $1173 and the 50-day simple moving average. Below this $1160 and $1140 come into view. Any buying will need to recover $1190 to suggest the pullback has run its course.

Brent strength pushes the price higher

Further strength in oil yesterday helped the price push above $56, which had acted as resistance for some time. Now we look to see if the price can push on to $57.30 and then $58.80. A failure to move on above $57 would suggest a test of $55 and then down to key support at $53.94. 

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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.

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