Technical analysis: key levels for gold and crude

Dollar strength seems to have gone for the gold rally, but oil continues to find buyers.

Oil pipes
Source: Bloomberg

Gold bears take control

Gold has, it seems, given up the ghost and now looks set for further losses. Having failed to hold $1300 over the past two weeks, the price now looks to be headed to the $1256 lows from the beginning of the month.

Intraday rallies will likely continue to meet selling pressure even up to $1290. A close above $1300 is needed to reverse the negative outlook. 

Gold price chart

WTI keeps on rising

The price for WTI is building on Friday’s bounce to push higher, so further gains should challenge $52.50 and then $53.00.

Dips back to $51.00 should continue to find buyers in the short-term, while a deeper retracement would find buyers at $50.50 and then $49.50.

Oil price chart

IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.

This information/research prepared by IGA or IGA Group is intended for general circulation. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person. You should take into account your specific investment objectives, financial situation or particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit. 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. In addition to the disclaimer above, the information does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. Any views and opinions expressed may be changed without an update.

See important Research Disclaimer.