Technical analysis: key levels for gold and crude

Gold’s rally yesterday failed to break crucial resistance, while oil is finding it hard to break above $67.

Gold falling between two stools

Just when the gold bears think they have the upper hand, the price surges. This is precisely what happened yesterday, spiking above the key $1307 level.

However, the sellers then came in and sent the price lower. Another retest of $1307 is likely, but a close above this level still eludes the bulls, and the sellers are still unable to break the rising trendline.

WTI gains contained by trendline resistance

WTI is still stuck below the September trendline, so a failure to move above $67.00 may suggest a move back towards $64.18.

Above $67.00, the high from 30 May at $68.61 is the next target. 

This information has been prepared by IG, a trading name of IG Markets 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.

Find articles by writer