Technical analysis: key levels for gold and crude

Gold’s retreat continues, but oil has managed to push higher. 

Oil pump
Source: Bloomberg

Gold continues to fall

There has been little sign of buying pressure in gold since it failed to break $1220. Having fallen below $1190, it looks like we will see a push to $1173 and the 50-day simple moving average. Below this $1160 and $1140 come into view. Any buying will need to recover $1190 to suggest the pullback has run its course.

Brent strength pushes the price higher

Further strength in oil yesterday helped the price push above $56, which had acted as resistance for some time. Now we look to see if the price can push on to $57.30 and then $58.80. A failure to move on above $57 would suggest a test of $55 and then down to key support at $53.94. 

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