Oil is Bearish; Let's Look For Potential Support Levels
US Light Crude Oil Futures (CL1!) looks bearish by any measure, as you can for example see using our Fractal Trend indicator. Given this, we are looking for potential support levels.
The first noticeable support is right around here. Price may try to consolidate and find support on the bullish order blocks at S1 formed in 2002.
Looking at the green arrows on the chart, we can see a history of price finding support at key ranges as denoted by bullish order blocks on the chart.
If price can’t rally and hold in this range, which seems possible since price is already under both order blocks at S1, S2 becomes the next target which takes us all the way down to the lows established at S2 in the 1980s and 1990s.
The first noticeable support is right around here. Price may try to consolidate and find support on the bullish order blocks at S1 formed in 2002.
Looking at the green arrows on the chart, we can see a history of price finding support at key ranges as denoted by bullish order blocks on the chart.
If price can’t rally and hold in this range, which seems possible since price is already under both order blocks at S1, S2 becomes the next target which takes us all the way down to the lows established at S2 in the 1980s and 1990s.
Comment:
Price has rallied back into S1 support
