Asset Watch
Tuesday, August 14, 2023
If not, we could see a repeat of April’s failure. The annotation at the bottom shows how crude demonstrated similar behaviour by bouncing off its 10-day MA during intraday pullbacks. Yet, when 10-day MA support collided with monthly resistance, the latter won, a breakdown followed, and the 10-day MA became resistance en route to new intraday lows. This means monitoring traders’ reactions to these levels is paramount this week.
So, will the third time be a charm for crude? Or will another rejection be followed by a dip below the 10-day MA?