Brent crude oil, silver and wheat prices lower amid strong US dollar
Brent crude oil, silver and wheat prices lower amid post hawkish Fed rate cut strong US dollar.
Brent crude oil price comes off resistance
The Brent crude oil front month futures price’s advance from its early December 70.76 low amid ongoing global crude supply concerns to last week’s 74.38 high has been followed by a bearish reversal as a strong US dollar weighs on the commodity.
With the 55-day simple moving average (SMA) at 73.78 having rejected Wednesday’s bounce, a slip to Tuesday’s low at 72.28 seems to be on the cards. Further down lies the major 70.76-to-69.91 support zone.
Spot silver price drops to four month low
The spot silver price has fallen by over nine percent from its $32.33 per troy ounce 12 December high and so far slipped to $29.26, to a four-month low and below the 200-day SMA at $29.63 which acts as minor resistance. Further resistance is seen between the mid-September-to-November lows at $29.65-to-$29.71 ahead of the $30.12 October low.
Below $29.26 lies the $29.22 early August high and further down the $27.69 September trough.
US wheat price on track for sixth straight day of losses
The US wheat price’s retreat from the 11 December 570 high is on track for its sixth consecutive day of losses with it now trading in four-month lows and slipping towards the mid-July low at 535. Further down the July and August lows can be found at 529-to-521.
Immediate resistance sits between the 542-to-544 mid-November-to-early December lows.
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