Oil fluctuated as Federal Reserve Chairman Ben S. Bernanke said progress in reducing unemployment is likely to be “frustratingly slow” and as U.S. inventories may have fallen for a fourth week.

Prices were little changed after Bernanke said in testimony to the Senate Banking Committee that economic growth slowed during the first half of this year. The Fed is prepared to take further action as appropriate, he said. Oil stockpiles probably declined 1.1 million barrels, according to a Bloomberg survey.

Crude for August delivery rose to $89.28 a barrel on the New York Mercantile Exchange after rising to $89.28 and falling to $87.41. Prices have declined 10 percent this year.

Brent oil for September settlement advanced 59 cents to $103.96 a barrel on the London-based ICE Futures Europe exchange.

Resistance of 3:1615 (resistance line from Jun 6)

Resistance of 2:1610 (area of Jul 6 high)

Resistance of 1:1600 (area  of session high and Jul 10 high)

Current Price: 1576.90

Support 1:1572 (session low)

Support 2:1560 (support line from May 16)

Support 3: 1548 (low of June)

Resistance 3:95,00 (61,8% FIBO 106,10-77,20)

Resistance 2:91,70 (50,0% FIBO 106,10-77,20, Jun 29 high)

Resistance 1:89,00 (session high)

Current Price: 87.78

Support 1:87,20 (session low)

Support 2:85,80 (MA (200) for H1)

Support 3:83,40 (Jul 10 low)

After the speech, Fed chairman in Congress, gold prices have fallen because of the strengthening dollar. Bernanke said increasing downside risks and the willingness to take action in the Federal Reserve if needed. He added that existing at the moment are two main risks - a crisis of the euro area and fiscal situation in the United States. In this case, the level of uncertainty is extremely high, and the recovery in employment is very slow.

August gold futures on the COMEX today fell to 1571.0 dollars per ounce.

Change % Change Last

Gold 1,588 -4 -0.26%

Oil 88.20 +1.10 +1.26%