Brent crude oil, natural gas prices stabilise while silver price resumes ascent
Brent crude oil price stabilises after Monday’s 6% drop
Israel's restrained military response to Iran's missile attack, which did not target Iranian oil facilities, has led to a 6% drop in Brent crude oil prices on Monday due to easing fears of supply disruptions.
The Brent crude oil front month futures price on Tuesday morning revisited Monday’s low and so far held at 70.82, marginally above its key 70.31-to-68.53 support zone. It consists of the 10, 26 September and 1 October lows and as such is expected to withstand a first test.
Minor resistance can be found at the 18 October low at 72.27 and at the price gap which sits between Friday's low and Monday's high at 72.70-to-73.86.
Spot silver price resumes ascent
The spot silver price’s run up to last week’s $34.87 per troy ounce high, to levels last traded in October 2012, has been followed by a small pullback to Friday’s $33.09 low. From there another up leg is currently being made with the $35.00 region being in focus.
Only a fall through last week’s low at $33.09 could lead to a protracted consolidation phase below last week’s 14-year high taking shape and the May peak at $32.51 being revisited.
US natural gas prices see sharp fall
Front-month US natural gas futures have swiftly come off last week’s 3.081 high and tumbled by over 6% as the situation in the Middle East seems to be de-escalating following Israel’s retaliatory airstrikes on Iran over the weekend.
Below Monday’s low at 2.818, the late September low and the August-to-October tentative uptrend line can be spotted at 2.763-to-2.744 ahead of the current October trough at 2.636.
Minor resistance can be seen at Friday’s 2.944 low and more significant resistance between the current October highs at 3.081-to-3.141.