#forexbreakfast focus commodity (eng)
The Bloomberg commodity index is still down. For the second consecutive week, profit-taking dominated all major sectors. Industrial metals were down by 2.9%, with China taking action against speculation. The Chinese attitude has also affected other metals; copper fell below $ 20,000 and aluminum in the $ 2,300 area. The energy sector was also bad, down by 2.3%. Thanks to developments on the Iranian front, Brent prices dropped at the beginning of the week, only to rebound after the news that negotiations with Iran will continue for another month. However, the demand for crude oil remains on the rise thanks to the reopening in the US and the EU. TTF natural gas profits down 7.6%, after forecasts of milder temperatures starting in June. The agricultural sector also fell -1.6%. Soy -3.8%, wheat -4.7%. Corn + 2.5% and Arabica coffee + 3.5%. On the other hand, the precious metals sector rose + 1.7%. On the rise gold and silver. Platinum -4.4% and palladium -4% are down.
After the signs of easing at the beginning of the week, Brent broke the bullish trendline that began last November. Even if in the long-term context the trend remains bullish, a momentary weakness in prices appears. The main resistance is located at 71.75 although some intermediate resistances have been created at 69.53 and 68-69. On the downside, the supports to monitor are at 65.65 and 64.57.
Good week for gold that broke the bearish trendline that started from the highs of 2020 up to the highs of 2021. The oscillators were both in a strong overbought situation, this does not exclude a trace. The trend remains positive with a target of over 1900. The most important resistance at the moment is in 1962. On the downside, the support to be monitored is located at 1841.
Last week, copper prices fell below 10 thousand. The target could be the support at 9500. Support of the bullish trendline passes at 9404. Oscillators are giving mixed signals, the weekly oscillator remains overbought.