USOIL Oil in Free Fall
WTI Oil prices plummeted further, with WTI breaking below a multi-month low. A limited bounce off 68.00 saw some consolidation. A subsequent drop below 66.00 invalidated the double bottom, forcing early buyers to abandon ship. A new round of sell-off would send the commodity to 65.50. The RSI’s oversold situation could offer some relief if short-term sellers take some chips off the table. However, bulls should be wary, as 67.40 is the closest resistance overhead.
USDCAD grinding higher
The Canadian dollar lost further ground to the greenback as prices touched the 1.3600 level. The price continues to grind its way higher, as a series of higher lows indicates mounting buying pressure and gives opportunities for trend followers to stake in. A close above the round number and the former support of 1.3600 could extend the rally to 1.3680, paving the way for a potential bullish continuation. On the downside, 1.3550 is the closest support to maintain the intraday momentum.
EURGBP tries to rebound
The Euro continues to its steady bullish pace after lifting away from the previous psychological support of 0.8400. A brief lift above 0.8450 has put the bears on the defensive, which could drive price action towards 0.8500. A close above 0.8450 could prompt sellers to trim their bets, easing the downward pressure. The support-turned-resistance of 0.8480 is a significant level to clear before a sustained recovery can take hold. 0.8410 at the base of the bullish momentum is a fresh support.