Brent crude oil price remains bid while silver, US natural gas prices slip
Brent crude oil price remains bid amid depleted inventories while silver, US natural gas prices slip despite weakening US dollar.
Brent crude oil price rises on inventory drop
The Brent crude oil front month futures price rose by over 2% on Wednesday amid much lower than expected US EIA inventories with the lower end of the 72.70-to-73.86 price gap between Friday's low and Monday's high currently acting as resistance. If filled, the upper October downtrend channel resistance line at 74.16 may be revisited alongside the 55-day simple moving average (SMA) at 74.76.
Key support remains to be seen between the September and current October lows at 70.31-to-68.53.
Spot silver price forms minor top
The spot silver price’s run up to last week’s $34.87 per troy ounce high, to levels last traded in October 2012, has been followed by a small pullback to Friday’s $33.09 low from where another upside attempt has been made. This seems to have run out of steam at Tuesday’s $34.55 high, though, with further downside being on the cards, now that the accelerated October uptrend line is beginning to give way. A fall through the 25 October low at $33.09 could kickstart a protracted consolidation phase with the May peak at $32.51 being revisited.
US natural gas prices remain under pressure
The descent from last week’s front-month US natural gas futures 3.081 high is ongoing with the August-to-October tentative uptrend line at 2.774 being eyed. A fall through it would likely engage the October low at 2.636.
Minor resistance can be seen at Friday’s 2.944 low and more significant resistance between the current October highs at 3.081-to-3.141.
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