The energy commodity found a strong support level on the 50% Fibonacci retracement at 4.405, the pair closed with a loss for the second consecutive day after it rose to 4.935 on the Thursday session. The price now trades inside the Ichimoku cloud suggesting there is market uncertainty, fundamental factors and the invasion of Ukraine certainly have a massive effect on the volatility of the pair.
The Bollinger bands are wide and steady, volatility is expected to be high in the reopening of the session, price is likely to reopen with a big gap as events develop in Western Europe. The pair trades in between the bands, suggesting that the price is at a fair level.
The short and long-term moving averages continue indicating that the price will continue to rise in the short term, currently, the price trades above the MAs even after today’s loss. Our parabolic SAR indicator suggests that the price will continue to rise in the upcoming trading sessions.
The relative strength index is at 54% which will allow the price to move in either direction before being oversold or overbought. The resistance level is currently on the 61.8% Fibonacci retracement at $4.618.
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