Oil remains stable as Saudi cuts balance macroeconomic gloom.

On Friday, oil prices remained constant as traders weighed supply curbs from Saudi Arabia and Russia against worries about the health of China’s economy.

After Riyadh and Moscow extended their voluntary supply cutbacks of a combined 1.3 million barrels per day (bpd) through the end of the year, both oil benchmarks reached 10-month highs earlier this week.

Due to China’s sluggish post-pandemic recovery, which is thought to be key to shoring up oil demand throughout the rest of the year, markets have grown impatient, and stimulus plans have fallen short of expectations.

According to data released on Thursday, the second-largest economy in the world saw a decline in both exports and imports overall in August because of sluggish consumer spending at home and abroad.

BRENT CRUDE OIL: TECHNICAL OVERVIEW

Moving Averages:

Exponential:

• MA 5: 89.68 | Positive Crossover | Bullish
• MA 20: 88.50 | Positive Crossover | Bullish
• MA 50: 86.68 | Positive Crossover | Bullish

Simple:

• MA 5: 89.74 | Positive Crossover | Bullish
• MA 20: 86.58 | Positive Crossover | Bullish
• MA 50: 85.74 | positive Crossover | Bullish
  
  

RSI (Relative Strength Index): 67.49 | Buying Zone | Bullish

Stochastic Oscillator: 12.84 | Selling Zone | Negative

Resistance And Support Levels :

• R1: 90.57 | R2: 93.83
• S1: 88.94 | S2: 87.30

Overall Sentiment: Bullish | Order Type: Buy

Trade Suggestion: Stop Buy: 90.98 | Take Profit: 93.83 | Stop Loss: 89.34

As the dollar declines from a six-month high, gold prices increase.

The dollar dropped from a nearly six-month high on Friday, which helped lift gold prices marginally. Additionally, concerns about escalating U.S.-China tensions and bad data from Japan contributed to some safe-haven demand for the yellow metal.

However, despite this, gold prices were still on track for a weekly loss due to fresh worries about interest rate increases following this week’s positive U.S. inflation and job market reports.

GOLD: TECHNICAL OVERVIEW

Moving Averages:

Exponential:

• MA 5: 1922.57 | Negative Crossover | Bearish
• MA 20: 1927.13 | Negative Crossover | Bearish
• MA 50: 1925.20 | Negative Crossover | Bearish

Simple:

• MA 5: 1921.62 | Negative Crossover | Bearish
• MA 20: 1932.35 | Positive Crossover | Bullish
• MA 50: 1920.59 | Positive Crossover | Bullish
  
  

RSI (Relative Strength Index) 46.07| Buying Zone | Bullish

Stochastic Oscillator: 27.68 | Sell Zone | Bearish

Resistance And Support Levels :

• R1: 1933.82 | R2: 1952.85
• S1: 1922.17| S2: 1902.50

Overall Sentiment: Bullish | Order Type: Sell

Trade Suggestion: Stop Sell: 1916.70 | Take Profit: 1902.50 | Stop Loss: 1927.26.

Silver gains some positive traction and snaps a seven-day losing streak to over a two-week low.

Friday’s Asian session saw some buying of silver, and for the time being, it appears to have ended a seven-day losing streak to a two-and-a-half-week low, around the $22.85 region touched the day before.

China’s concerns and growth risks put pressure on copper prices. Among industrial metals, copper futures maintained their downward trend on Friday, down 0.4% to $3.7453 per pound as ongoing worries about China, a significant importer, persisted.

Gold up (0.23%) at 1923.76, Silver up (0.27%) at 23.03, Palladium up (0.25%) at 1215.00, Platinum down (1.21%) at 897.50, Brent Crude Oil up (0.58%) at 90.45, WTI Crude Oil up (0.51%) at 87.31 as of writing time.