Murrey Math Lines 26.01.2024 (Brent, S&P 500)

Brent

Brent quotes are above the 200-day Moving Average on H4, indicating the prevalence of an uptrend. However, the RSI has reached the overbought area. In this situation, a downward breakout of 4/8 (81.25) is expected, followed by a price decline to the support level of 3/8 (79.69). The scenario could be cancelled by rising above the 5/8 (82.81) level. In this case, the quotes might rise to the resistance of 6/8 (84.38).

On M15, the lower boundary of the VoltyChannel is too far from the current price, so the quotes decline could only be supported by a breakout of the 4/8 (81.25) level on H4.

S&P 500

The stock index is in the overbought area on H4, while the RSI has broken the support line. In these circumstances, a rebound from +1/8 (4884.8) is expected, followed by a price decline to the support at 7/8 (4804.7). The scenario could be cancelled by rising above the resistance at +1/8 (4882.8), in which case, the S&P 500 index might reach the +2/8 (4921.9) level.

On M15, the price decline could be additionally confirmed by a breakout of the lower boundary of the VoltyChannel.