Carbon Emissions (EU ETS), continue to form within a symmetrical triangle pattern

Carbon Emissions continue to form a symmetrical triangle pattern on the daily timeframe. Support for the commodity token sits at €83.19, which is the triangle pattern low. A break below here could take carbon towards €82.50 and then €78.68 (June low) in extension of this. Towards the upside, €90 will remain somewhat resistant. A break above here could see a move higher towards €93.50 and then €95.50. The ceiling price for carbon is around €100.00.

A slowdown in the economy would soften prices a little as fewer pollutants in the air will drive demand down for the credits, however, the EU does rely on the money raised from the sale of carbon credits, so large drops and sustained downward pressure would generally be met with availability of carbon credits for sale altered to adjust the price toward the upside, the EU wants to see prices at €90-€100 permanently by 2030, therefore, price drops will likely be met with buyers.