Technical analysis: key levels for gold and crude

Oil’s remarkable rally shows no sign of stopping, while gold continues to show some strength for now.

Gold continues bounce from $1180

Is gold creating a higher low? That will be the question many are asking this morning, as the price bounces from $1180. To be sure, we will need to see a rally though the $1215 area that has stymied progress since mid-August.

This would break both horizontal and trendline resistance. A bounce back towards $1215 is possible in the near term, but if it fails to break this level it becomes a possible selling opportunity. A drop back below $1180 and a close below this level brings $1160 into play again.

WTI surge goes on

The surge goes on here for WTI, with no sign of an end to the rally.

Dips towards $72.90 would continue to create higher lows such as we have seen throughout the month. A move back below $72.80 is needed to suggest some short-term weakness.

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