Technical analysis: key levels for gold and crude

Gold’s decline has slowed for the time being, although it has yet to see more than short-term buying. Meanwhile, WTI is struggling to move on above $69.00.

Gold finds some strength for now

Gold continues to hold above the $1205 lows of last week, but it has yet to give a meaningfully bullish signal on anything but the short-term charts.

A close above $1236 is still needed to suggest a near-term break higher is in play, one that might carry the price back towards $1260 resistance. Even here this may still prove to be a strong selling opportunity. The continued defence of $1205 gives some hope to the bulls, but a close below this level opens the way to $1195 and $1180.

WTI stalled below $69.00

Over the previous two sessions a move above $69.20 has been met with selling for WTI, so this is the near-term level to watch.

A close above here would open the way to the peak from the end of July at $70.00, and would then see the price move on to challenge the downtrend line from the June high. A break above this then indicates a broader rally towards $73.00 and higher is in play. A drop will find possible support around $66.00. 

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