Skip to content

CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved. CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved.

Technical analysis: key levels for gold and crude

Gold continues to consolidate despite a temporary breach below near-term support. Meanwhile, WTI has broken out from a recent rising wedge formation, with further downside looking likely. 

Video poster image

Gold holds up at historical support level

Yesterday saw gold break below the recent $1218 hurdle, only to hold up at the $1214 level. That level represents the low from early May 2017.

As such, we remain within a consolidation phase, with a potential short-term bounce impending given the rally back into the recent range.

WTI breakdown points to further losses

WTI has broken lower from the 76.4% retracement, the fall below $68.02 signaling a strong possibility of further downside.

As such, further weakness is likely in crude prices, with a rally above the $70.00 mark required to negate this bearish outlook.

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 IG 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.

Find articles by writer