Technical analysis: key levels for gold and crude

Crude’s rally goes on, while gold remains friendless. 

Source: Bloomberg

Gold could move back to $1300

Yesterday’s rally to $1270 simply brought out fresh sellers, so now we look to see if $1250 is breached. If it is, then the next stop is likely to be $1200 over the longer term.

Sustained price action above $1280 might suggest that a bottom is in place and that the metal is moving back to $1300.

WTI eyes $50.50

The relentless climb goes on for the commodity. Since 30 September a rising trendline has stalled any major downside, so a dip back to $50.50 could see buyers return.

The $52.20 mark is still the level to watch on the upside, while it still requires a move below $49.50 to imperil the current rally.

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