​​​WTI stalls on demand concerns while gold and silver fall as greenback hits 6-month highs

​​​WTI stalls at ten-month high ​ ​

WTI’s over 10% rally on tighter supply and increased optimism surrounding China’s stimuli is stalling on fears that future energy demand could weaken amid China’s slowing economic growth. The country’s trade surplus narrowed in August as exports declined on softer external demand, while imports also fell amid weak domestic consumption.

​Further consolidation below this week’s high at $87.61 is thus at hand. Were this high to be exceeded, however, the 11 November 2022 high at $89.39 would be targeted ahead of the psychological $90 region. ​Minor support sits at the 1 September high at $85.70 and more important support at the $84.39 August peak.

​Gold price drops on three consecutive days on rising US dollar ​

Gold’s advance from its $1,885 per troy ounce August low has taken it to last week’s $1,953 high as the US dollar’s appreciation gave way to a corrective move lower. Now that the greenback resumed its ascendency and trades in six-month highs, the precious metal price is seen slipping again. ​

Currently the 200-day simple moving average (SMA) at $1,919 is being revisited with the 25 August low at $1,904 representing a possible additional downside target. ​Resistance comes in along the 55-day simple moving average (SMA) at $1,931 and also around the late July low at $1,943.

​Silver on track for seventh consecutive day of decline

​Silver’s bearish reversal off its $25.01 August peak has swiftly taken it back down towards the mid-August high at $23.01. If fallen through, the late May low at $22.68 would be next in focus, followed by the key $22.23 to $22.12 support zone. It consists of the June and August lows. ​Resistance can now be found between the 200- and 55-day simple moving averages (SMAs) at $23.47 to $23.64.