Technical analysis: key levels for gold and crude

Gold is still retreating, while oil prices are holding steady after yesterday’s excitement. 

Gold
Source: Bloomberg

Gold could see February low

Gold bears were rewarded with another bounce yesterday to sell into, with the progress lower continuing today.

A break below the 200-hour simple moving average ($1197) would be the ideal catalyst for more selling, with downside targets around $1190 and then the 10 February low at $1181. 

Brent could target $34

Yesterday’s oil news certainly dented the bullish narrative and may well have put it to bed for now.

So far the lows of yesterday at $32 continue to hold, and if this remains the case then a move back above $33 would signal that a new rally may be underway, with targets around $34 and then the Tuesday peak at $35.54.

Below $32 we look towards the lows of last week around $30 for Brent.

WTI could see $31.50

So far dips down towards $28.70 have brought out buyers, so if this level holds and further upside momentum develops the first area to watch is $30, and then on towards $31.50.

Below $28.70 the commodity will target $27.74 and then $26.95 for WTI.

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