US Oil faces strong resistance at 61.8% fibo, good to sell on rallies
US Oil has jumped sharply from the low of $49.11 (Oct 9th 2017 low) on account of increasing speculation of output cut by major OPEC producers and expected pick up in global demand. The commodity touched till $51.35 yest…
US Oil has jumped sharply from the low of $49.11 (Oct 9th 2017 low) on account of increasing speculation of output cut by major OPEC producers and expected pick up in global demand. The commodity touched till $51.35 yesterday and is currently trading around $50.85.
US Oil recovered till 61.8% retracement of $52.83 and $49.11 at $51.40 and started to decline. Any further bullishness can be seen only above $51.40 and break above will take the pair to next level till $52/$52.83.Overall bullish continuation only above $52.83.
On the lower side, any break below $50.41 (55- 4H EMA) confirms minor weakness a decline till $50/$49.10 (55- day EMA) is possible. Short term weakness can be seen only below $49.
It is good to sell on rallies around $51.30-$51.35 with SL around $52 for the TP of $50.40/$49.20.
