Technical analysis: key levels for gold and crude

Crude’s rally goes on, while gold remains friendless. 

Source: Bloomberg

Gold could move back to $1300

Yesterday’s rally to $1270 simply brought out fresh sellers, so now we look to see if $1250 is breached. If it is, then the next stop is likely to be $1200 over the longer term.

Sustained price action above $1280 might suggest that a bottom is in place and that the metal is moving back to $1300.

WTI eyes $50.50

The relentless climb goes on for the commodity. Since 30 September a rising trendline has stalled any major downside, so a dip back to $50.50 could see buyers return.

The $52.20 mark is still the level to watch on the upside, while it still requires a move below $49.50 to imperil the current rally.

IGA, may distribute information/research produced by its respective foreign marketing partners 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.