Technical analysis: key levels for gold and crude

Gold’s rapid drop yesterday has arguably created a more bearish view in the short term, while oil is looking to retest the highs of the week after another dip to the week’s lows.

Oil rig Source: Bloomberg

Commodity Technical analysis Gold

Gold under pressure after sharp drop

A sharp drop yesterday took the price of gold back towards the $1285 support level.

The reversal would seem to indicate that a bearish view now prevails, and an intraday rally may provide a fresh selling opportunity. Further declines below $1285 target $1277.

Gold price chart

Gold price chart

Brent held below the highs of the week

Dips to $66.80 continue to find buyers, but now we wait to see if the gains can hold above $67.80, where the Brent rally stalled earlier in the week.

From there, $68.50 comes into view. A fresh decline will challenge the $66.00 area of support once again.

Brent chart

Brent chart

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