Type:
Bullish Bounce
Key Levels:
Resistance: 5.098
Pivot: 4.406
Support: 4.227
Preferred Case:
Prices are consolidating in a daily triangle. We see the potential for a bounce from our Pivot at 4.406 in line 61.8% Fibonacci retracement towards our 1st resistance at 5.098 in line with 78.6% Fibonacci retracement. Our bullish bias is further supported prices trading above our Ichimoku clouds.
Alternative Scenario:
If prices were to reverse, they can potentially dip towards our 1st support at 4.227 which is in line with 61.8% Fibonacci projection and 78.6% Fibonacci Projection.
Fundamentals:
U.S. and U.K sanctions on fuels and plans to phase out crude by end of 2022 will mean potentially further rally 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.