Complex starts the week on a more positive note as corrective phase continues for the time being.
Intermediate- to long-term downtrends are still firmly intact with little evidence of a major bottom to this bear cycle, but short-term trends are up with prices continuing to experience much needed corrective action for the time being. However, lack of basing activity leaves this recovery structure rather fragile and hence unlikely to prove sustainable with prices vulnerable to renewed bouts of weakness in the days ahead. Local support should now be anticipated starting at 5,050/70 then again towards the 4,900/20 zone with a close back under the pivotal 4,730/50 area needed to regenerate downward momentum.
Trading strategy: Monitoring current corrective phase for opportunity to re-establish shorts.
The overall bearish outlook is undisturbed with little evidence of a bottom to this major downward cycle, but good support looks to have been uncovered on approach to the historically important 1,430/50 area with much needed corrective action being experienced at present. However, anticipate strong overhead resistance to be encountered at 1,550/60 initially with only a clear and sustained break back above here capable of extending near-term gains and setting up a challenge of the 1,630/40 zone where better supply should then be stimulated. A period of accumulation is required prior to better recoveries.
Trading strategies: With profits on shorts secured will monitor corrective rebounds for opportunity to re-establish.
Intermediate- to long-term downtrends remain firmly intact, but interim downside objectives have been fulfilled with much-needed corrective and reconsolidative action being experienced now. However, in the absence of any significant basing activity, immediate recovery attempts are likely to prove unsustainable with strong overhead resistances waiting at 1,970/80 initially then at 2,050/60 likely to cap gains for the time being. This market remains vulnerable to renewed bouts of weakness in the days
ahead and while local support should be uncovered in the 1,830/40 zone a break beneath here would signal 1,760/70 next.
Trading strategy: Remaining on sidelines for the time being as corrective/consolidative phase continues.
Intermediate- to long-term technical studies remain clearly negative with lower targets still possible. Interim objectives have been fulfilled with a fresh period of correction and reconsolidation now developing. However, strong resistance should be encountered at 1,750/60 initially, with a clear and sustained break above here needed to extend this short-term recovery phase and set up a test of the 1,810/20 area. Unless achieved, this market remains vulnerable to renewed bouts of weakness. Local support is visible starting at 1,630/40 then again towards the key 1,570/80 zone.
Trading strategy: Continuing to utilize corrective rebounds to probe the short side.
The overall bearish outlook remains firmly in force with little evidence of any bottom to this major downward cycle, but short-term trends look to be flattening out with recent falls being digested through a combination of correction and reconsolidation. Strong overhead resistances waiting at 12,200/12,300 initially, then at 12,900/13,000 should restrict upward progress and unless this upper boundary can be decisively broken, this market remains vulnerable to renewed bouts of weakness in the days and weeks ahead. Local support is now anticipated at 10,800/10,900 initially.
Trading strategy: With profits on shorts secured will await next signal prior to re-establishing.
Overall technical studies remain decisively bearish with little evidence of a bottom to this major downward cycle. Prices look to have uncovered good support on approach to the historically important 13,000/13,100 area with much needed corrective action being experienced now. However, in the absence of any significant basing activity, recovery attempts are likely to prove unsustainable at this stage with strong resistance anticipated at 16,000/16,100 initially, then again towards the 17,000/17,100 region with prices remaining vulnerable to renewed bouts of weakness. Support now at 14,000/14,100.
Trading strategy: With profits on shorts secured monitoring current correction ahead of re-establishing.
Underlying bullish patterns remain firmly in force and with the recent major corrective and reconsolidative phase now confirmed to be complete, the main upward cycle looks to have resumed. Prices could head towards the 1,800.0 region in the weeks ahead and while interim resistance should be encountered in and around the 1,755.0/60.0 area, immediate pullbacks are likely to be restricted to potentially sharp but probably short-lived corrective dips only for the time being. Supports are now visible starting at 1,640.0/45.0 with a close beneath here needed to extend near-term falls closer to the 1,600.0/05.0 region.
Trading strategy: Would once again look to probe the long side on corrective dips looking for 1,800.0 region.
The overall technical outlook remains clearly bearish with lower targets still readable in the weeks ahead, but interim objectives in and around the 11.20/40 area have been fulfilled with sharp corrective action being experienced at present. However, this appears poorly based and hence unlikely to prove sustainable at this stage with strong overhead resistances waiting at 16.00/20 initially, then on approach to the 16.80/17.00 zone. Unless this upper boundary can be regained, prices remain vulnerable to renewed bouts of weakness with support now waiting at 14.50/70 initially, then at 13.70/90.
Monitoring current sharp corrective bounce for opportunity to re-establish shorts.
The data shown and the views expressed on this sheet are for information purposes only and do not constitute recommendations to trade. Cliff Green Consultancy does not accept any liability for loss or damage suffered through any actions taken or not taken as a result of reading any information provided herein.
Wednesday, April 15, 2020 | Tel: + 44 (0)7710369208 | www.cliffgreenconsultancy.com | email: firstname.lastname@example.org