WTI Approaching A Key Resistance Level

  • 21 May 2020


The USD/JPY pair has failed to push beyond the 107.93 resistance level, where a series of doji candles have gathered indicating a lack of conviction from buyers. The pair seem likely to take the previous horizontal price pattern in the near-term. Momentum indicators have moderate upward trajectories. 






The Eurodollar has rebounded from the 1.078 support line and is now testing the 1.098 resistance area. In the absence of a break, price action will likely remain in range between these two price levels. Momentum indicators reflect the bullish bias.






The GBP/USD pair has rebounded from 1.208 price level after an extended bearish bias. Going forward, the pair will likely continue to oscillate between the 1.208 and 1.261 price levels. Momentum indicators are undergoing moderate reversals.





The USD/CHF pair has failed several times at the 0.976 price level. Oscillations are beginning to narrow in a tighter trading range between the 0.961 and 0.976 price levels. Momentum indicators are languishing in neutral territory. 





The USD/CAD pair has failed once again failed to clear the 1.386 price line with any real conviction, as the support area seems to be a magnet for the pair. Momentum indicators support the bearish bias with downwards trajectories. 





A Silver rally has taken the metal back towards the 17.42 resistance area which represents a previous trading range. So far, a break is yet to be sustained. Momentum indicators have bullish trajectories yet RSI indicates that the metal is overbought.






Gold has broken the upper trading range at the 1728 resistance level, yet the break has been met with a rise in selling pressure. Buyers’ appetite is waning as the drive higher lacks momentum. RSI has flattened just below overbought conditions which indicates further upside potential. 






WTI buyers have been able to build momentum to drive price action towards the 34.90 resistance level. A break of this resistance level would be significant as it represents the gap fill line. Yet the conviction is not there currently. Momentum indicators have sharp upward trajectories, yet RSI is approaching overbought positions.



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