XBRUSD has been on an uptrend for the last seven days; the pair managed to break three resistance levels in that time and is looking solid for recovery; however, there could be a temporary pullback in the short term once the RSI gets closer to 70%.
The Bollinger bands are wide, which will maintain the high volatility in the short term. The price is currently trading comfortably below the upper band, indicating enough room for a solid comeback and potentially reaching a new high since October 2018, breaking the $77.82 previous high.
The moving averages are close to a crossing that usually indicates a trend reversal; this time, it might not be the case for the commodity. The recovery is strong, and we think it is unlikely for Brent oil to fall aggressively in the short term.
Our parabolic SAR indicator suggests that the uptrend will continue strengthening our signals from other technical indicators.
The relative strength index is at 56%; this will allow the price to continue climbing until it reaches an overbought status above 70%.
We love to hear new ideas from traders and want to know what you think!
If you like this topic and want to suggest future topics that you find helpful, let us know by clicking the ‘submit your feedback’ button below.
Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite.
Nothing contained in this website should be construed as investment advice. Any reference to an investment's past or potential performance is not, and should not be construed as, a recommendation or as a guarantee of any specific outcome or profit.
