Commodities: Short-Term Bounce, Or Another Leg Down?

Commodities continue to suffer from the weakness in equity markets as well as a stronger US dollar, and we are looking at the technical picture to give us clues as to short-term direction. March Brent Crude is currently testing support around the US$73.13/bbl area, and given that momentum indicators remain in oversold territory, we continue to highlight the potential for a bounce on a short-term basis. Indeed, on the hourly chart, although the downtrend remains in place, we may have seen a bottom in prices. That said, only a break and close above multi-day resistance around the US$73.50/bbl area would

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