Commodities Spread Betting - Gold and Oil Update

Posted on | April 7, 2010 |

Gold once again confirmed the power of technical levels yesterday.

The $1132/34 mark was the resistance and the metal finally pushed through this level in early action to reach up to $1139 in the follow through.

However the break has achieved no other momentum and we have returned several times to the resistance, now support, of $1132/34.

Traders seem to want a higher price but are running out of buyers every time we push upwards. A break back under $1132 might open up to a return to $1118/22 or even $1102/04 if confidence is dented by the failure of the rally.

To the upside we are obviously looking at $1140/42 which has proved something of a watershed in times past.

Looking at the Crude Oil market and we continue ever upwards.

$91.50 is the immediate target for bulls but $100 per barrel is obviously in the minds of many.

Bears continue to cling on but the pressure is getting harder to take. The last two sessions have seen us peak at just under $87. Early action today has seen a similar reaction.

The bullish trend line support is currently just under $86 and a break may lead to further selling.

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