Gold price takes hit while oil price surges and wheat price grapples with resistance
Gold price experiences pullback as oil price surges amid fears of another Middle East flare up between Iran and Israel while the US wheat price grapples with technical resistance.
Gold price comes off record high
The spot gold price hit a new record high at $2,790.00 per troy ounce, close to the psychological $2,800.00 mark, before dropping to $2,732.00 amid a pullback as some traders cashed in their profits ahead of Friday’s US non-farm payrolls (NFPs) release and next week’s US presidential election.
Below $2,732.00 lies the 23 October low at $2,709.00 As long as this level underpins, the medium-term uptrend will stay intact.
Resistance above the 23 October high at $2,758.00 sits at this week’s all-time high at $2,790.00.
Crude oil price on track for third straight day of gains
The recent sharp drop in the WTI front month futures crude oil price to Tuesday’s 66.62 low has been followed by a swift near 6% rally amid escalation in the Middle East. Concerns regarding a flare up between Iran and Israel and possible supply disruptions have pushed the price of oil to the 55-day simple moving average (SMA) at 71.08 with last week’s high at 72.29 representing resistance. If overcome, a bottom will have been formed with the 78.02 October peak being back in sight.
Possible slips may find support around the 24 October low at 69.74.
US wheat price revisits resistance
US wheat futures prices have bounced of Monday’s 573 low and have been testing the October downtrend channel resistance line and 200-day SMA between 586 and 589 over the past three days.
A rise above not only Wednesday’s high at 594 but also the 25 October high at 598 is needed for the bulls to regain control.
Minor support can be found between the 55-day SMA and 22 October low at 580-to-579 ahead of the October trough at 573.
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.
React to volatility on commodity markets
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.
See opportunity on a commodity?
Try a risk-free trade in your demo account, and see whether you’re onto something.
- Log in to your demo
- Try a risk-free trade
- See whether your hunch pays off
See opportunity on a commodity?
Don’t miss your chance. Upgrade to a live account to take advantage.
- Analyse and deal seamlessly on fast, intuitive charts
- Get spreads from just 0.3 points on Spot Gold
- See and react to breaking news in-platform
See opportunity on a commodity?
Don’t miss your chance. Log in to take your position.
Live prices on most popular markets
- Equities
- Indices
- Forex
- Commodities
Prices above are subject to our website terms and agreements. Prices are indicative only. All share prices are delayed by at least 15 minutes.
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
