Gold price eases off while oil price drops below support
Gold has suffered its first serious reverse in weeks, but there seems no sign of a rebound for Brent crude.
Gold’s rally begins to wane
The gold price reversed yesterday, and has continued to drop, falling below the 200-hour simple moving average (SMA) for the first time in two weeks.
Further declines below a possible $1565 support target $1557. A lower high from here would be a bearish development and suggest that the January rally has finally run its course.
Brent falls below key support
The Brent price fell below $56.00 support yesterday, with only a slight rebound to provide some hope for bulls this morning.
The relentless downward move seems set to continue, given that the price has been unable to establish a higher high over the past month. This would require a move above $56.50 at least. Further declines still target the December 2018 low at $50.25.
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
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.