WTI crude oil showed a minor pullback after the PBOC monetary policy. It hit a high of $79.93 at the time of writing and is currently trading at $78.79.
The People’s Bank of China (PBOC) kept its one and five-year Loan Prime Rates steady at 3.45% and 3.95% respectively.
Hawkish comments from Fed members last week prevent crude from further upside.
Markets eye FOMC members Bostic, Barr, Waller, Jefferson, and Mester's speech today for further movement.
Major factors for crude oil price movement-
US dollar index (Bearish)- positive for Crude.
Major resistance - 105/106.50.
Major support- 104/103.
Geopolitical tension- ceasefire talks stalled. (positive for crude).
Ichimoku analysis (4- hour chart)
Tenken-Sen- $79.20
Kijun-Sen- $78.25
The immediate resistance is around $80. Any jump above the target of $80.55/$81.20/$82/$82.53/$83. On the lower side, near-term support is around $77.90. Any breach below will drag the commodity down to $76.70/$75/$74.
It is good to sell on rallies around $80 with SL around $82 for a TP of $75.
