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Price Signal Summary - Oil Futures Remain Vulnerable

OUTLOOK
  • On the commodity front, the bear cycle in {O4} Gold remains intact. The yellow metal continues to challenge trendline support drawn from the Nov 3 2022 low. The trendline intersects at $1960.2. A clear breach of this line would reinforce bearish conditions and open $1903.5, 61.8% of the Feb 28 - May 4 bull cycle. Initial firm resistance is $1985.3, the May 24 high. Clearance of this resistance would signal a short-term reversal instead.
  • In the oil space, WTI futures remain vulnerable and continue to trade below resistance at $75.06, the Jun 5 high. The pullback from this level reinforces a bearish theme and yesterday’s sell-off marked an extension of the latest move lower. Support at $67.03, May 31 low, has been pierced, a clear break would open $63.90, the May 4 low. Moving average studies are in a bear mode position highlighting a downtrend. A break of resistance at $75.06 is required to signal a reversal. Initial resistance is at $71.30, the 20-day EMA.

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