Commodities Brief – Precious metals rebound, silver tests 23.70 resistance

FXstreet.com (Barcelona) - Gold prices were given a respite from the recent downtrend Friday, as news of the political gridlock in Italy fostered fresh demand for the yellow metal. Subsequently, the 1400 level and key resistance were broken and the yellow metal appears to have stabilized above this during European trading. After touching a session high of 1424, gold prices have now eased slightly back to USD $1414.69 per oz. Intraday, gold has a bullish bias, as it faces the next upside barrier/resistance at 1428. Meanwhile, a drop back below 1400 would be bearish.

Silver tests 23.70 resistance
The white metal surged higher Friday after a long needed breath of recovery, which was certainly in short supply earlier this week. Indeed, during European trading silver spot prices were seen peaking at the 23.83 level (session high) before pulling back in recent minutes to USD $23.63 per oz. A testing of the 23.70 resistance is seen as a positive signal intraday, and prolonged stability above this level will be seen as breaking out of a bearish consolidation.

Crude breaks higher
WTI crude oil extended earlier gains and was seen approaching the key resistance around the 90.00-90.50 area earlier this week– however until this area is breached, the overall bearish wave remains intact. In these moments, the price of crude is trading at USD $87.10/bbl.