Prices have remained pressured by sell orders and are continuing their downward slide. The pattern and form of the decline continues to be corrective. Prices continue to trade within the downward sloping channel. The trend is downward for the very short term as shown in the chart below.
Short-term support is found at 80.50 and after that at 80.15. Resistance is found at 80.90 and at 81.35 after that. The short-term trend is downward. This will change if prices break above 80.90. The lower lows and lower highs pattern confirms downward trend in the short term. We remain in the longer term bullish as long as prices trade above 79. In the short term we want prices to break out and above the downward sloping channel in order to get a buy signal.
We believe that the downward move is corrective and soon we will see a short-term trend reversal that will push prices towards 81.50 daily resistance. Support is found at 80.15 where the 34 day MA is now. We believe a bounce off this MA is very possible to signal the expected trend change.
