Technical analysis: key levels for gold and crude

The Federal Reserve meeting will likely keep most markets in cautious mode today, but WTI is looking to build on yesterday’s gains. 

Silver bars
Source: Bloomberg

Gold could see drop through $1060

Selling pressure yesterday halted just above $1060, so if this holds as support today, as it has over the past two days, then we look towards $1073 and then $1077.

Further bearish momentum will develop if we see a drop through $1060, which would open the way to $1053 and then $1047.

Brent could target $41.34

Brent crude's failure to hang onto yesterday's gains suggests that a move back towards $36.76, the lows from Monday, is in the offing.

It would take a move above $39.50 to reverse this, with further targets around $40.48 and then $41.34. 

WTI could find support at $37.50

By contrast, WTI has done relatively well in holding the ground gained, with a modest pullback underway from $38.50.

If this is broken to the upside then $39 and then $40 come into play. Downside support is likely around $37.50 and then $36.54. 

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