Technical analysis: key levels for gold and crude

Gold’s range has still not been broken, while oil refuses to break lower.

Oil barrels
Source: Bloomberg

Gold range continues

The range goes on here, so unless the current move higher can break $1265 and also the 200-day simple moving average, we could see it turn back to $1250. And, as before, the $1200 level would be the next target in a break lower, while a rally might head towards $1300. 

Brent drift looks set to continue

So far over the past week or so dips towards $51.50 tend to be met with fresh buying, but there is little sign the drift back from $53.50 is likely to end. We need to see the price move back above $53 and then close above $54 to create a new solid high.

WTI to test $52

Here $50 has prevented further downside, with the $49.50 level below it as the key area to watch. Now we wait to see if the price can move back to $52 in order to test this level; a break higher is needed to maintain forward momentum. 

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