Gold price moves higher as oil price continues to drop back
A weakening of risk appetite has bolstered gold and knocked back oil prices.
Gold targets a break higher
The price of gold has continued its surge from the lows of last Friday, breaking through trendline resistance from the 2 June high.
The 4 June high at $1722 continues to act as resistance, but a breakout above here, as seems likely, targets $1745. Alternatively, a break back below $1710 reasserts a short-term bearish case, opening the way to $1690 and then $1670.
WTI edges lower
A bounce from yesterday’s lows faltered at $39.20 for WTI, which might provide the near-term lower high that sellers will have been looking for.
The next target in this bearish move is yesterday’s low at $37.25, and if this broken the negative case begins to gather strength.
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