The energy commodity closed the week with a 4.43% gain from the previous session, where it lost almost 6%, the price continues bouncing for the 3rd consecutive session and could enter a consolidation status in the short to medium term.
The general trend continues to be upwards, and the gap between our short and long-term moving averages continues to expand strengthening the buy signals. The price is finding strong support at the 23.6% Fibonacci retracement at $7.161
The Bollinger bands are wide but they are starting to close up and move upwards, which is often an indication of an uptrend. The pair traded closer to the upper band but not close enough to consider the price high yet.
The relative strength index is at 61% which will allow the pair to continue moving upwards in the short term until it gets closer to the 70% overbought status; however, our Parabolic SAR indicator suggests that the price will move down in the short term, but this is a lagging indicator.
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.