Technical analysis update: USOIL (18th August 2021)

USOIL continues its struggle to move up. Current important level to watch is 65 USD. If this level fails to hold then more downside is probable. RSI is flattening out. MACD and Stochastic remain bearish. Despite that we still remain optimistic on higher price of WTI oil in the future. Our short term price target remains 70 USD, medium price target 77.50 USD and long term price target 80 USD.

Prior developements from 12th August 2021:

Disclaimer: This analysis is not intended to encourage buying or selling of any particular securities. Furthermore, it should not serve as basis for taking any trade action by individual investor. Your own due dilligence is highly advised before entering trade.

Comment:

Breakout below 65 USD leads to abandonment of our short term price target of 70 USD. Next important level to watch is 61.58 USD. We would like to observe price for next few days. It is still possible this might be just fake breakout below 65 USD as price continues to correct.

Trade active:

Price retraced much of its move down today. In addition to that USOIL closed back above 65 USD. It is possible that fake breakout took place and correction ceased with it. We will observe USOIL closely in next trading sessions. If price manages to hold above 65 USD it is potentionally bullish. In that case we would expect 70 USD pricetag for USOIL in the short term.

Comment:

RSI reverses on daily timeframe.