Despite this improvement, the bulls didn’t manage to push the price higher, which triggered a pullback and a daily closure under the previously broken upper border of the red rising wedge.
What does it mean for the commodity?
On one hand, such price action looks like a verification of the earlier breakdown under this line and could encourage the bears to show their claws once again – especially when we take into account the sell signals generated by the daily indicators.
However, on the other hand, we should keep in mind that yesterday’s upswing materialized on a visibly higher volume (compared to previous days), which suggests that the bulls could regain strength after the recent declines. In this case, another attempt to move higher and come back above the upper line of the rising wedge can’t be ruled out (…)
From today’s point of view, we see that the situation developed in line with the above scenario and the buyers pushed the price of black gold higher after the market’s open, hitting an intraday high of $82.36.
Despite this improvement, they didn’t manage to climb above the Monday’s peak (not to mention the attack on the red gap), which translated into a pullback and a daily closure under the previously broken upper border of the red rising wedge – for the second time in a row.
