Upon looking at the technical analysis of oil on a 1H time frame, it is clear that the index is following a descending triangle pattern.
I believe the general trend will be a retest of the descending trendline for the second time after OPEC's decision to cut production. We observed the last drop in oil prices occurred after hitting the descending trendline without breaking it, which intensified the drop due to the consecutive implications that negatively affect oil.
Regarding the numbers, we are currently in a situation of medium selling saturation, and we might see a slight upward correction.
In case of breaking the level of 71.40, we might head towards 73 - 73.50.
If 73.50 is broken, we might head to 75.60 - 76.00 - 77.50.
If 77.50 - 77.90 is broken, we might gradually head towards the trendline which reaches 80-82.
On the other hand, if 70.15 is broken and it remains stable for two 4-hour candles, we might gradually head towards 68.60. If 68.60 is broken, we might head back towards 63.
These are some of the toughest trading days for oil at these current levels, which are very risky.
I believe the general trend will be a retest of the descending trendline for the second time after OPEC's decision to cut production. We observed the last drop in oil prices occurred after hitting the descending trendline without breaking it, which intensified the drop due to the consecutive implications that negatively affect oil.
Regarding the numbers, we are currently in a situation of medium selling saturation, and we might see a slight upward correction.
In case of breaking the level of 71.40, we might head towards 73 - 73.50.
If 73.50 is broken, we might head to 75.60 - 76.00 - 77.50.
If 77.50 - 77.90 is broken, we might gradually head towards the trendline which reaches 80-82.
On the other hand, if 70.15 is broken and it remains stable for two 4-hour candles, we might gradually head towards 68.60. If 68.60 is broken, we might head back towards 63.
These are some of the toughest trading days for oil at these current levels, which are very risky.