Technical analysis: key levels for gold and crude

Gold has recovered from $1250, and now looks to be challenging previous key resistance, while there seems nothing that can stop the WTI drive to $53. 

Source: Bloomberg

Gold in consolidation

Gold has finally seen another dip, similar to that witnessed at the end of last week, but once again the area around $1250 continues to hold.

A rebound from here targets $1264 and higher, while bears need a move below the 200-day simple moving average (SMA) at $1243 to shift this market from consolidation to sell-off.

WTI on the way to $53

A dip yesterday was met by buying, and with the WTI price now knocking on the door of $51.99 we could see another rally to the downtrend line off the February highs, which would imply a move to $53.

A reversal below $50 is still needed to cancel out the bullish outlook here. 

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