Brent crude price and gold price regain ground after recent losses

Brent crude and gold find a bid once more, but with crude production so higher, there are still questions over how long this could last.

Gold on the rise, as we push into key resistance

Gold has managed to rebound from the 76.4% Fibonacci support level around $1666. That looks like sending us back into fresh highs, with the uptrend of the past month providing us with a clear bullish outlook.

Nevertheless, the $1720 resistance level is worth watching for the short term given the existence of the 76.4% Fibonacci retracement. A rise through there looks likely to provide us with a continuation of the uptrend, with a break through $1739 and $1747 likely. To the downside, a break below the $1660 level would provide us with a possible bearish reversal signal.

​Brent easing back after rally into trendline resistance

Brent has been regaining ground after the incredible sell-off that dominated the first half of the week. That rally has taken us into trendline resistance which is currently being respected as the price starts to turn lower once again. The pertinent question is whether this period of optimism is simply a precursor to further declines.

Certainly, a break below the $22.70 level would bring about a more bearish outlook once again. However, until then there is a chance we could see the bulls come back in around Fibonacci support. It is worthwhile noting that without any major action to curb overproduction, there is little reason to expect the prices to head drastically higher. However, with US Secretary of the Treasury Steven Mnuchin calling for $30.00, there are many who believe we could be seeing some form of supportive announcement in the near future. From here, the question is whether we see a break below $22.70 or not.

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.

The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. 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, and 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.

Please see important Research Disclaimer.

Trade 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

1In the case of all DFBs, there is a fixed expiry at some point in the future.

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.


Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.

The Momentum Report

Get the week’s momentum report sent directly to your inbox every Monday for FREE. The Week Ahead gives you a full calendar of upcoming key events to monitor in the coming week, as well as commentary and insight from our expert analysts on the major indices to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.