Baxia Markets News

UK Oil struggles to break resistance

Written by Baxia Markets | May 20, 2022 1:00:00 PM

The energy commodity found a strong resistance close to the upper Bollinger band at $115.64. Brent Oil seems to start a volatile consolidation period; it has not been able to fall below $96 or go above $113.95 for more than just a moment. The short and long-term moving averages are about to cross, indicating an uptrend, while the price is still above both lines.

 

The Bollinger bands are opening up, which will bring higher volatility to the pair in the short term; the pair trades closer to the upper band but not close enough to consider the price relatively high; the next support level is $109.94 at our 23.6% Fibonacci retracement.

 

 

 

The relative strength index is at 53%, which is very neutral, allowing the pair to move in either direction in the upcoming trading sessions. Our parabolic SAR indicator suggests that the price is likely to move upwards in the short term.

 

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