1-Day Analysis:
Big Picture: Price action over the weekend remained volatile within a limited range. Furthermore, price is forming an ascending channel formation and progressively rising inside the formation. The indicators have also cooled down by a few points overall, but they are still in an overheated area, which might prolong the volatility. This environment will lay out challenges for fresh entrants.
On the Upside the level of 35,300 provides instant resistance. Throughout the weekend, price struggled to break through this level. This resistance is still relevant and must be overcomed if the price is to return towards the 35,705 level followed by 36,660 which is also the channel top. If the price hits the 36,600 mark, anticipate major rounds of profit-taking to occur around it.
On the Downside over the previous few hours, 34,615 has been serving as a support line. Furthermore, there is the presence of a short-term trending formation below this support line, with its supports at the 34,400 level. Both of these are solid support levels in the meantime; any lower fall would need price to break through these levels, after which a drop down into 33,970 to 33,670 is likely. Furthermore, as a result of being tested repeatedly, these supports would now require extra attention since they may become vulnerable.
