Skip to content

CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please consider our Risk Disclosure Notice and ensure that you fully understand the risks involved. CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please consider our Risk Disclosure Notice and ensure that you fully understand the risks involved.

Technical analysis: key levels for gold and crude

Gold and Brent gain ground, yet a bearish reversal looks likely considering the recent wider breakdown. 

Video poster image

Gold consolidates after breakdown

Gold has been consolidating in the aftermath of last week’s break below the crucial $1236 support level.

That level is likely to remain crucial, providing resistance should we see further upside. Ultimately this period of moderate gains seems unlikely to last, with a break above $1266 required to bring a wider bullish outlook. Until then, a turn back into the downtrend seems likely before long.

Brent retracement looks likely to falter

Brent has been regaining ground, with the price posting a deep retracement within the 61.8% and 76.4% retracements.

This period of upside looks likely to be a precursor to further downside, with a continuation of the double top formation likely. With that in mind, a bearish outlook is in place, with a rally above $75.87 required to negate this bearish view.

The information 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 Bank S.A. 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 and as such is considered to be a marketing communication.

Find an article

Find articles by writer