Aluminium, Brent crude oil prices slip on rising US dollar and China demand concerns as silver price stays side-lined
A stronger US dollar and China demand uncertainties are weighing on the oil and aluminium price while silver price remains stable.
Brent crude oil price slips to 1-month low
The Brent crude oil price is on track for its third straight session of falling prices as demand uncertainties in top consumer China and a rising US dollar weigh on it. Front month futures are revisiting their late June and last week’s lows at 83.71-to-83.70, below which meander the 55- and 200-day simple moving averages (SMAs) at 83.34 and 82.96. These may act as support. If not, the early May low at 81.60 would be eyed.
The July resistance line comes in at 85.06 and while below there, downside pressure should prevail.
Silver price remains side-lined
The spot silver price continues to trade sideways below its $31.49-to-$31.75 per troy ounce July peaks while remaining above its 5 July low at $30.13.
A rise above the 11 July high at $31.75 is needed for the $32.51 May high to be back on the map whereas a fall through $30.13 may lead to the 55-day SMA at $29.79 and the May-to-July uptrend line at $29.50 being revisited.
Aluminium price drops to 3-month low
The price of aluminium has now fallen through its 2,470 mid-June low and is trading at a 3-month low with the December-to-January highs at 2,399-to-2,398 representing a possible downside target zone.
Immediate bearish pressure should be maintained while no rise above the last reaction high on the daily candlestick chart, made on 11 July at 2,508, is seen.
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