FxWirePro:US OIL forms shooting star pattern, good to sell on rallies

• Candle stick pattern – Shooting star (5th Dec 2016)
   
• Candle stick pattern – Doji (6th Dec 2016).
   
• Major support - $50
   
• The black gold made a temporary top around $52.39 on 5th Dec 2016 and started to decline sharply from that level. It has broken major support  $50 and declined till $49.70 at the time of writing. It is currently trading around $49.87.
   
• Any violation below $50 confirms minor weakness, a decline till $47.80 (34 – day EMA)/$46.40 (100- day MA).
   
• On the higher side, $51.40 (61.8% fibo of $52.39 and $49.70) will be acting as immediate resistance and any break above will take the commodity till $52.40 temporary top formed on Dec 5th..

It is good to sell on rallies around $50.30-$50.50 with SL around $51.40 for the TP of $47.80/$46.40.