West Texas Intermediate suffered a strong pullback that broke two support levels for a few hours; however, the price recovered some ground, and the second breakout was not completed.
The Bollinger bands are open, and volatility will be high; the price is now trading inside the Ichimoku cloud, which could be interpreted as market uncertainty. The price will likely find support at the 38.2% Fibonacci retracement, at the 69.44 price line.
The relative strength index fell to 45% without getting even close to the 70% oversold status. The technical factors were there for the price to continue climbing and potentially break the previous high in a few years; unfortunately, other fundamental factors affect the commodity's price.
Our parabolic SAR suggests that the price will continue to move in the short term; however, the short and long-term moving averages crossed, and they now indicate a downward trend, which could revert if the price starts showing response signs.
We would have to wait to see if the pair can find support or if it attempts another breakout at the 69.44 price level.
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