While upside momentum is diminishing in crude oil, further rise is still in favor with 80.16 minor support index. Current rally from 69.50 could extend further to retest 83.95 high. Nevertheless, break of 80.16 will indicate that a short term top is already in place and deeper pull back should be seen to 38.2% retracement of 69.50 to 83.03 at 77.86 and below.
In the bigger picture, crude oil was supported above mentioned 68.59 key support and thus, there was no confirmation of medium term reversal. The strong rebound from 69.50 dampened our bearish view and argue that medium term rise from 33.2 might not be over yet. Nevertheless, as such rise from 33.2 is treated as a correction to whole decline from 147.27 only, even in case of another high above 83.95, we'd continue to expect strong resistance near to 50% retracement of 147.27 to 33.2 at 90.24 to bring reversal. On the downside, though, break of 69.50 support will now indicate that crude oil has topped out in medium term already and turn outlook bearish.....Nymex Crude Oil Continuous Contract 4 Hours Chart.
Gold ETF Trading System
Share
No comments:
Post a Comment