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 is trading above a key head and shoulders breakdown level. Meanwhile, Brent crude is heading lower after hitting trendline resistance.

IG Analyst

Publication date : 2018-11-27T09:52:25+0000

Video poster image

Gold trading at key breakdown support level

Gold is seemingly forming a head and shoulders pattern in the wake of a rally into the 76.4% retracement level ($1228).

The break below $1220 would spark a bearish short-term view, with a projected head and shoulders target of $1208. However, that only comes with a break below $1220. Until then, there is a chance of a rebound from this support level.

Gold chart

Gold chart

Gold chart

WTI turning lower from trendline resistance

WTI has struck trendline resistance once again, following an attempt to regain ground following recent losses.

With that in mind, it looks likely we will see the market turn lower from here, with the continuation of lower highs and lower lows likely to persist. As such, a bearish outlook remains in play unless we see a break through $64.72.

WTI chart

WTI chart

WTI chart

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

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.

This website is owned and operated by IG Bank S.A. Registered address at 42 Rue du Rhone, 1204 Geneva, authorised and regulated by FINMA.

The information on this site is not directed at residents of the United States and Belgium, or any particular country outside Switzerland and is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.