The energy commodity managed to break the resistance at the 38.2% Fibonacci retracement and now aims towards the 81.55 levels. Short and long-term moving averages are about to cross, but the price trades above both lines, indicating an uptrend.
The Bollinger bands are opening up which will bring higher volatility to the pair in the short term; however, the pair trades very close to the upper band, suggesting that the price is relatively high, this could be seen as a high-risk limited reward trade by many investors, if the bands continue to open up then the risk would be lower and there would be more interested traders in long positions.
The relative strength index is at 59% which will allow the pair to climb a bit further before we see another pullback, we estimate that it could reach the low 80s level in the short term before reaching 70% RSI. The resistance at 81.55 will be hard to complete.
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