XTIUSD is on a six-day losing streak that adds up to -7.74%. The commodity continued to lose ground and managed to break two strong support levels in only three trading sessions.
The Bollinger bands are opening up and pointing down, which indicates high volatility and a potential downtrend. The price is currently trading extremely close to the lowe band, which suggests that the price is relatively low; this could be a wake-up call for traders to start placing long positions on the commodity.
The relative strength index is very close to entering an oversold status. The current RSI is at 31%. Once it goes below 30%, it will be oversold, another signal for traders to start buying at the dip as the price might start a recovery in the short term.
The price might find a support level at the $63.63 level as May is a previous resistance point. From a technical point of view, the pair has reversed the trend and is now in a downtrend; however, we will need to wait to see if this is only a strong retracement.
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