Commodities Brief: Precious metals struggles as US Dollar Index adds to gains

FXstreet.com (Barcelona) - It was another tough day for commodities with gold, silver, and oil all closing in the red. The US Dollar Index was well bid throughout the session, closing at its highest level since late August. Equities once again were the outperformers, with the S&P 500 gaining 1.04%, to close at a new all time high of 1650.34.

Gold closed the day down 0.42% and finished at 1423 (at one point traded as high as 1445), while silver gave up 1.1% to close at 23.36. Initial support on gold remains at 1418 (low on May 10th), while resistance sits at 1446 (the 20dma). Initial support silver sits at 23.07, while resistance sits at 23.72. The short term moving averages on both of the gold and silver daily charts remain in bearish set up, with price below both the 9 and 20dma’s. The RSI (14) also remains in bearish set up, sitting between the 60-20 bearish zone.

Oil followed the lead of precious metals, closing down 0.74% to finish at 94.22. From a technical perspective, oil remains very range bound on the daily chart with both short term moving averages and the RSI (14) continuing to sit in neutral set up. Initial support comes in at 93.85 (previous day low), followed by 93.39 (the 50dma). First resistance sits at 94.85 (previous support, now resistance on daily chart, followed by 95.46 (the 9dma).