The crude prices are stuck in a narrow range $47.75-47.50 levels earlier today ahead of the lingering speculation on weekly supply data announcement which is due later in the US session. Bears managed to plummet every upswing below channel resistance in the recent past, while DMA crossover & leading oscillators also indicate more slumps on cards (refer ).
The current prices in minor trend slid below 21DMAs, while bulls check support at baseline but restrained below 21EMAs. Last month also, the crude price upswings have been restrained at the stiff resistance of $50.38 (i.e. 21EMA levels).
On a broader perspective, the consolidation phase goes in the symmetric , tests resistance at the downward , consequently, the current prices slide below EMAs. For now, the selling sentiments are coupled by both leading oscillators.
signals overbought pressures by evidencing the downward convergence to the price declines on the . While curves have been indecisive but little bias on both time frames.
To substantiate this stance, daily signals downswings may extend further. Hence, we don’t encourage long-term long build ups, instead, we advocate shorts in WTI crude as the underlying price of this energy commodity may slide again upto 45.75 levels, maintain the strict stop at $49 levels.
FxWirePro launches Absolute Return Managed Program. For more details, visit: