WTI Oil Tests Resistance At $86.20 As Dollar Rebounds From Session Lows

China’s Retail Sales declined by 0.5% year-over-year in October, compared to analyst consensus of 1%. Industrial Production increased by 5%, while analysts expected that it would grow by 5.2%.

The reports highlighted the negative impact of coronavirus restrictions. China has recently relaxed some of these restrictions, but it remains to be seen whether this move will provide a material boost to oil demand in the country.

Currently, WTI oil is trying to settle above the resistance at $86.20. In case this attempt is successful, it will head towards the next resistance level at $87.75. A successful test of this level will push WTI oil towards the resistance at $88.50.

On the support side, the nearest support level for WTI oil is located at $85.00. If WTI oil declines below this level, it will move towards the next support level at $84.20. A move below $84.20 will open the way to the test of the support at $83.15.

Gold Failed To Settle Above The $1775 Level

Gold made another attempt to settle above the resistance at $1775 but lost momentum as the U.S. dollar rebounded from session lows.

Silver gained downside momentum after an unsuccessful attempt to settle above $22.00 as traders decided to take some profits after the recent rally. Platinum pulled back towards the $1020 level, while palladium tested the $2100 level.

Natural Gas Is Stuck Near $6.00

Natural gas prices are stuck near the $6.00 level as colder weather was somewhat offset by the uncertainty regarding the timing of Freeport LNG restart.

Natural gas needs to settle above the $6.20 to have a chance to gain upside momentum in the near term. A move above this level will open the way to the test of the significant resistance level at $6.40.

Copper Markets Move Lower Amid Profit-Taking

Copper pulled back towards the $3.80 level as traders continued to take profits after the recent rally.

To have a chance to get above the $4.00 level, copper markets must stabilize after the current pullback.

For a look at all of today’s economic events, check out our economic calendar.

About the Author

Vladimir Zernovauthor

Vladimir is an independent trader, with over 18 years of experience in the financial markets. His expertise spans a wide range of instruments like stocks, futures, forex, indices, and commodities, forecasting both long-term and short-term market movements.

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