Oil, gold and silver prices rise on heightened geopolitical tensions
Outlook on WTI, gold and silver amid ongoing attacks in the Red Sea shipping lane.
WTI rallies on supply disruption fears
Front month West Texas Intermediate (WTI) futures rallied by over 6% from Wednesday’s 69.41 low amid heightened geopolitical tensions in the Middle East. The futures contract is now testing Tuesday high at 73.70. A rise above this minor resistance level would likely engage the 8 November low at 74.92 as well as the September-to-January downtrend line at 75.20.
Minor support below Thursday’s 72.97 low can be found around Friday’s 72.67 high and also at the 72.38 mid-November low.
Gold price stems decline
Spot gold’s drop from its $2,088 late-December high amid a stronger US dollar took it to Wednesday’s $2,031 low from where it is trying to regain recently lost ground.
The mid-December high at $2,048 is currently being tested, a rise above which would eye the 21 December high, Friday and Tuesday’s lows at $2,055 to $2,059.
Support sits at Wednesday’s $2,031 low.
Silver price sell-off is taking a breather
Spot silver’s swift decline from its late-December high at $24.60 per troy ounce on the back of an appreciating US dollar took it to Wednesday’s $22.84 low, to marginally above its $22.51 December trough which should act as support. Below it lies the November low at $21.89.
Minor resistance can be spotted around the 9 November high at $22.99.
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