Technical analysis: key levels for gold and crude

Gold appears to be heading towards $1200, with price breaking through a key resistance level this morning. Meanwhile, a sharp deterioration in crude is slowly being reversed, with the uptrend still intact.

Gold bars
Source: Bloomberg

Gold attempts to break back into bullish trend

Gold has been gaining ground since hitting the 76.4% retracement in December. We are seeing further gains coming into play in 2017, with price challenging the key $1165 resistance level.

An hourly close above $1165 would provide a bullish signal, with the $1181 and $1200 levels coming into view. We would need a break back below $1146 to negate this bullish outlook.

Gold price chart

Brent falls into key Fibonacci support level

Brent crude saw significant selling yesterday, wiping out a week’s worth of gains. That deterioration took us into the 76.4% retracement level, providing a cheap long entry.

We are now gaining ground from that $55.55 level. A bullish outlook will be in play unless we break back below $54.65.

Brent crude price chart

WTI attempting to claw back ground

WTI also saw amplified losses yesterday, with many struggling to explain exactly why. In any case, this brought us back to the 76.4% retracement.

While the sharp nature of that sell-off is a little bit of a worry, a bullish outlook remains as long as the price remains above $52.16.

WTI crude price chart

Denna information har sammanställts av IG, ett handelsnamn för IG Markets Limited. Utöver friskrivningen nedan innehåller materialet på denna sida inte ett fastställande av våra handelspriser, eller ett erbjudande om en transaktion i ett finansiellt instrument. IG accepterar inget ansvar för eventuella åtgärder som görs eller inte görs baserat på detta material eller för de följder detta kan få. Inga garantier ges för riktigheten eller fullständigheten av denna information. Någon person som agerar på informationen gör det således på egen risk. Materialet tar inte hänsyn till specifika placeringsmål, ekonomiska situationer och behov av någon specifik person som får ta del av detta. Det har inte upprättats i enlighet med rättsliga krav som ställs för att främja oberoende investeringsanalyser utan skall betraktas som marknadsföringsmaterial.