Gold price consolidates, as Brent oil price pushes higher

Gold is taking a breather after a recent pullback, while the Brent price is gaining ground in what looks like a wider retracement.

Gold price consolidates after recent pullback

Gold has started to consolidate, following on from a period of weakness instigated on Friday.

With gold recently breaking higher from a period of consolidation, this decline back into that range raises the possibility that we will trade in such a manner once again. However, there is also a chance that we are retracing in the aftermath of that breakout, with the market setting up for another push higher before long. For the short term, we are awaiting the break from this current $1414-$1430 region of consolidation to give us a better idea of where we go from here.

Brent crude price continues to gain ground

Brent has been regaining ground over the course of the week, with overnight price action seeing the market breach $64.00.

There is a good chance that we are seeing a retracement phase here given the prior break below $64.02 and gentler slope of this current rebound. However, we would need to see either a deep retracement or a break below the most recent swing low to bring a bearish trading environment. Further upside seems likely for now, with a decline below $62.57 or rally into $65.04-$65.98 bringing a bearish picture back into play. Alternately, a wider bullish view would reemerge if the market breaks through $67.49.

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.

Speculate on commodities

Trade commodity futures, as well as 27 commodity markets with no fixed expiries.1

  • Wide range of popular and niche metals, energies and softs
  • Spreads from 0.3 pts on Spot Gold, 2 pts on Spot Silver and 2.8 pts on Oil
  • View continuous charting, backdated for up to five years

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.