Technical analysis: key levels for gold and crude

Gold and oil are both recovering from the lows of yesterday, but are at risk of further declines.

Gold set for a small bounce

Intraday oversold conditions suggest that a near-term rebound is at hand for gold, but as so often since the end of August it may well fizzle out below $1215.

A break back below $1195 brings to an end the higher lows seen since the end of last week, and would bring $1180 support back into play.

WTI at risk of creating a lower high

WTI has recovered from the lows of yesterday’s session, but if the bounce currently in play from the nadir of yesterday’s session fizzles out below $75.00, we may be in for a wider retracement of the recent move higher.

Below $73.80 the price heads towards $72.88 and then rising trendline support around $71.30.

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