GBPUSD another lower high
Cable remained bullish as the dollar sell-off continues across the board. The price is poised to consolidate gains after firmly bouncing off the recent bottom at 1.3400. If there is a rejection at the said price, buyers could bail out and send the price lower. They may then test the previous wave at 1.3520. As the RSI remains vastly overbought, a break at 1.3520 could cause trend-followers stake a claim. Consequently, they may hope for a bearish continuation, leading prices back down to the 1.3400 region.
US OIL waiting for signals
WTI remains indecisive amid ongoing geopolitical risks that continue to dominate oil’s outlook. The price has taken a step back after being rejected as the black gold made its way towards 62.00, which has now become a key resistance level. Its breach would reinforce optimism and lay the foundation for a continuous run above 65.00. On the downside, 59.00 is the immediate support in case of a fallback as the market prepares for Donald Trump’s next move on Venezuela and Iran.
US 30 moving higher
The Dow Jones jumped higher as big corporate earnings began to announce their forecasts. On the chart, the RSI is looking to break higher, suggesting an extremely overbought condition as the index hits fresh peaks. 49700 has been established as a new milestone after bullish trend followers piled in, with 50000 the next target. However, sentiment could shift to a more cautious stance as liquidity thins, with 48800 becoming an important level to test the bulls’ commitment.