Oil and natural gas prices probe resistance while gold continues to drift lower
The outlook on oil and natural gas remains bullish while the price of gold slips.
Gold continues to glide lower
The price of Spot Gold continues to come off its its 200-day simple moving average (SMA) at $1,845 per troy ounce, which capped it throughout this and last week, with the mid-June low at $1,806 remaining in sight as US treasury yields surge once more.
Further down the May trough can be spotted at $1,787. Minor resistance above the April-to-June downtrend line and 200-day SMA at $1,841 to $1,845 comes in at last week’s high at $1,848 with further resistance sitting at the 16 June high at $1,857.
While the next higher current June highs at $1,874 to $1,877 cap, the last few months’ downtrend remains in place.
Brent crude oil revisits its mid-May high
Brent crude oil’s rally from last week’s low at $104.92 has taken it back to the mid-May high at $114.30, around which it currently struggles, as investors balance concerns over a potential demand slowdown with signs of ongoing supply tightness.
If the $114.30 level were to be overcome on a daily chart closing basis, the late March and late May highs at $120.48 to $120.62 may be reached next.
Slips may find support along the 55-day SMA at $111.75 and at the 20 June low at $109.76.
Natural gas futures stage a minor recovery rally
Natural gas futures have been rising over the past three sessions as they are recovering from their $6.07 three-month current June low amid renewed supply worries.
The 14 June low and 21 June high at $6.95 to $7.01 represent an immediate upside target which may cap the current advance, though. Further up the 27 April high at $7.51 may also offer minor resistance.
Slips may find support around the $6.48 10 May low ahead of the current June low at $6.07.
If it were to be slipped through, the 200-day SMA at $5.64 would be next in line, below which the November 2021 and January 2022 highs can be found at $5.51 to $5.43.
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