Introduction:

In the world of commodities, Brent Crude Oil, markets eagerly await crucial data to gauge the Fed and ECB’s outlooks while Brent maintains its position above $90 per barrel, driven by extended supply cutbacks. Meanwhile, in the realm of Gold, prices remain stable amid impending CPI data, with the dollar’s movements and economic factors shaping the precious metal’s future.

Brent Crude Oil:

Markets are awaiting data for hints on the Fed and ECB’s outlooks as Brent remains above $90.

Investors watched for macroeconomic data that would signal whether interest rates will increase more in the United States and Europe, while Brent crude futures maintained above $90 a barrel on Tuesday.

Following Saudi Arabia and Russia’s announcement that they will extend their voluntary supply cutbacks of a combined 1.3 million barrels per day (bpd) through the end of the year, Brent surpassed $90 per barrel last week for the first time in ten months.

According to Tina Teng, a markets analyst at CMC, investors would be keeping an eye on the August U.S. consumer price index data since it might determine how much higher interest rates climb in the largest economy and largest oil user in the world.

Technical Overview:

Moving Averages:

Exponential:

• MA 5: 90.48 | positive Crossover | Bullish
• MA 20: 89.39 | positive Crossover | Bullish
• MA 50: 87.49 | positive Crossover | Bullish

Simple:

• MA 5: 90.45 | positive Crossover | Bullish
• MA 20: 89.65 | positive Crossover | Bullish
• MA 50: 86.56 | positive Crossover | Bullish
  
  

RSI (Relative Strength Index): 68.88 | Buying Zone | Bullish

Stochastic Oscillator: 41.22 | Buy Zone | Positive

Resistance And Support Levels:

• R1: 91.09 | R2: 95.71
• S1: 88.97 | S2: 87.06

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion: Stop Buy: 92.59 | Take Profit: 95.71 | Stop Loss: 90.68

Gold:

Gold prices remain stable as CPI approaches.

Tuesday saw minimal movement in gold prices as the dollar halted recent declines ahead of crucial inflation data due later this week, while copper prices held onto recent gains on the belief that the worst for China’s economy was passed.

Recent sessions saw some relief for gold prices as the dollar declined from a nearly six-month high due to profit-taking. However, the dollar held steady in Tuesday’s Asian trading, staying close to recent highs.

There will likely be more pressure on gold prices in the upcoming months as the prognosis for U.S. inflation and interest rates is still favourable. The opportunity cost of investing in bullion increased because of this exchange, which had a negative impact on the price of gold over the previous year.

Technical Overview :

Moving Averages:

Exponential:

• MA 5: 1922.01 | Negative Crossover | Bearish
• MA 20: 1924.46 | Negative Crossover | Bearish
• MA 50: 1924.34 | Negative Crossover | Bearish

Simple:

• MA 5: 1923.65 | Negative Crossover | Bearish
• MA 20: 1925.03 | Negative Crossover | Bearish
• MA 50: 1924.73 | Negative Crossover | Bearish
  
  

RSI (Relative Strength Index): 44.45| Neutral Zone | Neutral

Stochastic Oscillator: 60.62| Buy Zone | Neutral

Resistance And Support Levels:

• R1: 1929.06 | R2: 1952.16
• S1: 1914.14 | S2: 1892.48

Overall Sentiment: Bearish | Market Direction: Sell

Trade Suggestion: Stop Sell: 1909.33 | Take Profit: 1892.48 | Stop Loss: 1922.80

Elsewhere In the Commodity Market.

The price of copper among industrial metals increased on Tuesday, continuing to benefit from encouraging economic indicators for China. After a rise of more than 1% in the previous session, copper futures increased by 0.1% to $3.8057 per pound.

Gold down (0.05%) at 1920.74, Silver up (0.18%) at 23.10, Palladium up (0.08%) at 1216.50, Platinum up (0.42%) at 901.75, Brent Crude Oil up (0.58%) at 91.17, WTI Crude Oil up (0.71%) at 87.90 as of writing time.

Key Economic Events & Data Release Today:

(USD) EIA Short-Term Energy Outlook at 21:30.