Skip to content

We want to clarify that IG International does not have an official Line account at this time. We have not established any official presence on Line messaging platform. Therefore, any accounts claiming to represent IG International on Line are unauthorized and should be considered as fake.
CFDs are complex instruments. 70% of retail client accounts lose money when trading CFDs, with this investment provider. You can lose your money rapidly due to leverage. Please ensure you understand how this product works and whether you can afford to take the high risk of losing money.
CFDs are complex instruments. 70% of retail client accounts lose money when trading CFDs, with this investment provider. You can lose your money rapidly due to leverage. Please ensure you understand how this product works and whether you can afford to take the high risk of losing money.

Technical analysis: key levels for gold and crude

While both gold and WTI have been gradually gaining ground throughout the course of the week, we are beginning to see signs of a bearish breakdown for both.

Video poster image

Gold approaching key breakdown level

Gold has been drifting lower throughout the past 24 hours, with the recent rally into the $1235 level providing an ascending triangle formation (higher lows, flat top).

Ultimately, we need to see a break below $1218 to signal a continuation of the wider downtrend for gold. Until then, there is a chance we could continue to create higher lows, with the 76.4% retracement level perfectly marking the low of the day thus far.

WTI wedge pattern could spell trouble

WTI has been tightening as it gains ground over the past week. This looks likely to be setting us up for a period of downside, with the 76.4% retracement also providing a potential level for the price of WTI to turn lower from.

A break through the $70.78 mark would signal a return to the wider bullish trend. However, until that happens, there is a good chance we could see crude turn lower in the coming days. 

This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material 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 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. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.

Find articles by writer