#forexbreakfast – Commodities 13/12/2021
BRENT – Oil has resumed its recovery phase, as preliminary studies on the Omicron variant appear to confirm the efficacy of the vaccines. Quotes have retreated from the bullish trendline established last year and have recently broken to the downside. A return above this trendline would be especially encouraging, but for the time being, prices must remain above the lows reached during the recent sell-off (area 65) and not fall below the static support level of 62.41, below which the uptrend will be terminated.
On the upside, the first resistance is the previously mentioned old trendline (76.7), which is followed by an old static support at 78.75. The overcoming of these two levels could give the necessary push for a return over 80 during the first quarter.
COPPER – Copper remains in a trading range with no particular indication. The metal continues to stay above important support levels (9315 is the closest one), with the static support 8992 representing the watershed level below which there is a real risk of a strong temporary sell-off. On the upside, a dynamic resistance is located at 9740 (Daily Trender) with a next static level at 9920 (recent high of late November).