Oil pushed past first resistance level, two more zones to go.

3rd times the charm as they say, Oil had tested the resistance around $77 twice recently and failed. Today it managed to push past it. I believe this was in part due to the US inventories coming in below 800k barrels. Which is well below the average of slightly over 1 million for the last five years. Technically speaking we've got another minor resistance range (highlighted as A) around 79.20 although I don't expect it to trade in that range long as because it didn't last time and the volume during that range didn't support it either. The more important resistance range between $80-82 (highlighted B) is much stronger and supported by several high volume sessions. Suggesting there are some bigger players in the game at that level. We will see if the supply issues now start to out weigh the recession fears and push Oil up past 82.

Comment:

*UPDATE* Oil pushed through the minor zone A and was abruptly stopped and sent back down by the Major Resistance Zone B I identified. Almost exactly on the zone entrance of $80. This was hot on the heals of the US jobs report coming in strong and setting up the FED for more rate hikes.

Comment:

Now we wait and see if the old resistance at 77 turns into support or not.