were lower again on Thursday with the market for the moment more focused on likely end demand in a world where interest rates don’t fall as quickly as many hoped at the start of the year.
This week’s sessions don’t offer much in the way of likely trading cues, but we will hear from several Fed officials and get a snapshot of US oil-rig activity from oil service major Baker Hughes.The West Texas Intermediate benchmark has shed more than $5/barrel in the last five trading sessions having failed on two occasions this month to break through what looks like important resistance at the $87.63 retracement level.
The market appears to be headed back to support at its 200-day moving average. That comes in at $79.75 and it will be instructive to see whether that survives, if tested. The market has been above that level since March 12. Should it give way, uptrend-channel support at $77.46 will probably come into play.
IG’s own sentiment data finds traders quite bullish at current levels, but to such a great extent that a contrarian bearish play could well make sense.Leveraged trading in foreign currency or off-exchange products on margin carries significant risk and may not be suitable for all investors. We advise you to carefully consider whether trading is appropriate for you based on your personal circumstances. Forex trading involves risk. Losses can exceed deposits.