Commodities Attempting Breakout Above 6-Year Price Resistance
Chris Kimble | Aug 03, 2021 12:44PM ET
I have written a lot about select commodities and the potential for breakouts across the commodities industry.
Recently, I have highlighted key inflection points for Cattle / Copper and Steel/ and Coffee.
And as long as commodities remain elevated, inflation will linger. Today, we continue that theme by looking at a long-term “weekly” chart of the Invesco Commodities ETF (NYSE:DBC).
Over the past 6 years, line (1) has been major resistance for this Commodities ETF (DBC). During this time, line (1) has rejected DBC 3 times.
Over the past few weeks, though, DBC is working on a bullish breakout above this key price level at (2). Note that Relative Strength (RS) is moving higher, supporting this breakout attempt.
Bulls are hoping for a clean breakout as commodities dance just above this 6-year resistance. Stay tuned!
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.