The energy commodity managed to recover 9.13% after taking a big hit during the six previous sessions, the price managed to break the resistance level on our 50% Fibonacci retracement at $101.91. The pair now trades above the short and long-term moving average indicating that the uptrend might continue in the short term.
The Bollinger bands are very wide, they started to close down in recent days, but volatility will still be high, the price is now aiming to reach the 38.2% retracement at $110.43 which is the new resistance level.
The relative strength index is at 53% which will allow the pair to continue moving upwards in the upcoming trading sessions, the aggressive stance from the Fed worries investors about the effect that will have on the economic growth, as they announced a quarter of percentage point increase to the interest rates. Concerns on supply shortage arising from the Russia-Ukraine conflict also had an impact on the price.
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