Type:
Bearish Drop
Key Levels:
Resistance: 1966.2
Pivot: 1951.1
Support: 1918.6
Preferred Case:
Prices are abiding to an ascending trendline. We see the potential for a dip from our Pivot at 1951.1 in line graphical swing high towards our 1st support at 1918.6 in line with 78.6% Fibonacci Retracement. Our bearish bias is further supported by Ichimoku clouds forecasting the bearish move.
Alternative Scenario:
If prices were to climb, they can potentially reach our 1st resistance at 1966.2 in line with 100% Fibonacci projection.
Fundamentals:
With inflation still being an issue in the west and stalemate circumstances in the Russo-Ukraine crisis, we might still expect bullish upside on the commodity.
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Desmond Leong runs an award-winning research firm (The Technical Analyst finalists 2018/19/20 for Best FX and Equity Research) advising banks, brokers and hedge funds. Backed by a team of CFA, CMT, CFTe accredited traders, he takes on the market daily using a combination of technical and fundamental analysis.