Technical analysis: key levels for gold and crude

Gold suffers at the hands of improved risk sentiment, as Dow hits 20,000. Meanwhile, WTI continues to trade within a range as we await a breakout.

Gold bars
Source: Bloomberg

Gold sellers appear to have control

Gold established a clear area at $1220 as resistance and has now slipped below $1200. The price attempted to rally from the lows yesterday but was unable to maintain momentum so now looks at risk of heading towards $1174 and potentially lower.

Unless we see a move back above $1200 and then a close above $1220 it looks like the sellers are in charge, with rallies continuing to be sold.

WTI remains in range

The $52-$54 range remains here, with no sign that it is about to be broken. It is likely that we will keep seeing positive momentum peter out around $54, while the sellers may struggle to get the price to close below $52.

Until this range is broken traders have a clear range against which to trade for WTI.

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