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Technical analysis: key levels for gold and crude

Gold starts to turn lower from key resistance, while Brent attempts to break higher once more.

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Oil barrerls
Source: Bloomberg

Gold turning lower from resistance zone

Gold is turning lower this morning following a substantial rally overnight. This market has continuously failed to break through the $1357-$1358 resistance zone, and this looks like another case of that happening.

Essentially, it makes sense to look out for a potential move lower considering the proximity to that resistance zone. We are clearly consolidating and as such while we await a breakout, it is highly likely that we will continue to range.

Brent continues to push higher

Brent is pushing onwards once more, as we see an extension of an incredibly consistent rally. We are looking for a break and hourly close above yesterday’s high of $50.07 to provide a clue that this retracement is over.

Otherwise, look out for support around $49.49. Essentially it makes sense to look for further higher highs and higher lows and until that is negated, a bullish view remains in place. 

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