Ichimoku Analysis (1-Hour)
Tenken-Sen- $42.08
Kijun-Sen- $42.28
WTI crude oil declined once again after hitting a high of $42.88 level. The weak Chinese data and the US and China trade war are putting pressure on commodities at higher levels. The inventory fell by 4.5 million barrels compared to an estimate of 3.4 million barrels. The US crude production expected to decline by 990000 BPD this year to 11.26 million BPD vs forecast of 600000 declines previous month.
Technically, the commodity is facing primary resistance at $43, and any convincing break above targets $43.50/$44/$44.97.
The pair is trading well below Tenken-Sen and Kijun-Sen, a significant move only if it breaks below $41.89. Any indicative violation below will drag the commodity $41.50/$40.50/$40. Significant selling only if it breaks $38.50.
It is good to sell on rallies around $42.15-20 with SL around $42.80 for the TP of $40.55.
