Resistance seems tough to break, support below now in the spotlight

Shell continues to trade within the channel drawn on the chart, its shares are now trading at around £28.34 a share. We can see that the trend of higher lows followed by higher highs is still in place and has been a key factor here for investors. The stock has now found some resistance at £29.47 after a failed attempt to move above it last week. This has led to a slight sell-off with the price now approaching trendline support (green trendline). This support will certainly be in the spotlight as it’s the support zone where the breakout point aligns with the vital support formed in April. A break below this support would increase the likelihood of a slide lower towards the lower half of the channel. On the other hand, consolidation along this support may lead to another attempt higher, re-testing the resistance. Looking at the technical indicators, the MACD has turned negative and the RSI is falling as it now reads 56. Currently, they both point to further downside in the near-term.