Brent crude oil price drops 5%, silver 13% from recent highs while wheat price stabilises
Brent crude oil price slips further amid ample supply as silver price tumbles on back of strong US dollar while wheat price bounces off three-month low.
Brent crude oil price drops on ample supply
The Brent crude oil front month futures price has fallen by over 5% from last week’s 76.13 high which was made right within the major 75.24-to-76.16 resistance zone. It comprises the August lows as well as the late September and late October highs.
The September-to-November tentative uptrend line at 70.78 represents the next downside target ahead of the key 70.29-to-68.53 support zone which is expected to once more hold.
Spot silver price drop is ongoing
The spot silver price’s 13% descent from its 12-year $34.87 per troy ounce high has so far taken it to its August-to-November uptrend line at 30.19. Around it the recent sharp decline may pause. If not, the early August high at $29.22 could be reached as well.
Minor resistance above the $30.12-to-$30.19 late August high and early October low is seen at Wednesday’s $30.83 low and along the 55-day simple moving average (SMA) at $31.25.
US wheat price bounces off three-month low
US wheat prices recover from Monday’s three-month low at 566 and may revisit the 55- and 200-day SMA at 586-to-588 which, together with the October-to-November downtrend line are expected to cap.
Only a rise and daily chart close above last week’s high at 593 may but the 25 October high at 598 on the map.
Minor support is now seen around the 573 late October low.
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