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Brent Crude Oil and Arabica Coffee Bounce from Support as Silver Prices Fall

by Krystal

Earlier this week, Brent crude oil front-month futures encountered significant resistance at the late July to late August high range of $80.61 to $81.97. On Wednesday, the price fell to $75.05, landing right within the key support area defined by the early and late August lows, which range from $75.24 to $74.97. As long as this support holds, a slight rebound towards the $80.00 mark is expected.

However, if the price drops below $74.97, it could pave the way for a decline toward the $70.00 region.

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Spot Silver Price Hits Two-Week Low

The spot price of silver has dropped more than 7%, falling from last week’s high of $32.96 per troy ounce, which was near a 12-year peak, to this week’s low of $30.12. Below this level, there is another support zone between $29.71 and $29.22, which includes the low from September 18 and the high from early August.

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Minor resistance is located between $30.89 and $30.99, which corresponds to the late September low and the early October high.

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Arabica Coffee Futures Rebound from Uptrend Line

Arabica coffee front-month futures have bounced back from their May-to-October uptrend line, currently at $242.78. The prices are now approaching the 55-day simple moving average (SMA) at $246.43.

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Resistance levels are found at the July peak of $254.42 and the late August high of $259.22. If these resistance levels hold, it may maintain downward pressure on prices.

A drop below Monday’s low of $240.78 would bring the September low of $235.14 into consideration.

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