#forexbreakfast focus commodity (eng)
After four weeks of decline, the Bloomberg Commodity Index ended the week up 0.2%. The driver of the markets was the depreciation of the dollar. Positive week for all sectors, except for the energy sector -2.9%. To weigh on the energy comparison was the weakness of gas and oil, which are affected by the weakness of demand linked to the increase in infections. European gas TTF fell by 1.2%. The industrial metals sector rose by 1.7%. The fund benefited from good macro data in China and the US. In China, however, the authorities have announced that they will tighten controls on price increases that are weighing on businesses. Iron in Singapore rises by 4%, thanks above all to strong Chinese demand. Good week for the precious + 1.1%. The fund was helped by the weakness of the dollar. Gold has been at a high for over a month. A good week also for silver + 1.1%.
A good week also for the agricultural sector + 2.4%. Strong increases for sugar and cotton, both over 5%. Good week for corn and wheat too.
Brent closed below 63.33 support last week. in this week you do not return to this level, a descent towards 60 is probable. On the downside, the level at 59 should be monitored. On the upside, the resistance levels to be monitored are 65.5 and 67.24.
Gold hit its highest level since February last week, returning to hitting 1743 at the close. The figure that seems to be forming is that of the double low, with a target of 1837. On the downside, the supports at 1702 and 1677 should be monitored. At the moment the weekly stochastic is stabilizing and exiting oversold. The daily newspaper, on the other hand, went overbought.
Copper has been in a trading range between 8674 and 9000 for a few weeks. The closest support is at 9081, but copper does not seem to find enough strength to break out of 9000. The low volatility that has been characterizing these last few weeks could be interrupted with the breaking of one of the two levels of the trading range. If the 8674 level breaks, the target could then be 8550. On the upside, however, any exceeding of 9081 could have 9428 as a target.
The weakness of the last period was interrupted with a rebound on the support at 204. The trend remains bullish, as above the lows of 2019. On the upside, the first resistance is located at 218.43, the next at 223.75. Exceeding these levels would reinforce the trend again. Oscillators are currently giving mixed signals.