Technical analysis: key levels for gold and crude

Gold has pushed higher as investors look to safe havens, while oil is fighting to hold support after yesterday’s losses.

Oil barrels
Source: Bloomberg

Gold may find more buyers

A spot of risk-off sentiment in markets is invariably good for gold, and so it has proved this week. The metal is heading back to the $1290 zone from the end of last week, and a push above here would open the way to $1295 and then $1307.

A dip to $1270 brought out buyers yesterday, so pullbacks may continue to find buyers. A close below $1270 would bring $1264 back into play.

WTI returning to monthly highs

A sharp reversal yesterday for WTI found support at $55.00, so if this holds we look for a move back above $55.67 and then back to the highs of the month at $58.00.

Below $55.00, the $54.00 and $52.93 levels come into play. For now, bears will have to wait to see whether a rally encounters further selling and creates a new lower high. 

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