OIL Technical analysis 7 January 2019
2019-01-07 01:22 am | Resource: Technical Analysis | No Views : 246
Time frame Used - four hours
Oil is moving in a bullish direction in the near term.
The purchasing power managed to control the oil movement to breach the resistance level of 46.10 to the upside as the bulls were able to compensate part of the losses suffered by black gold (oil) to reach the level of 48.50 as oil faces selling pressure on this level.
In view of the technical indicators
Both the RSI and the Stochastic are indicating to the arrival of indicators in the overbought area.
Therefore, we expect that the oil will fall back to the level of 46.10 dollar again and this scenario fails in the case of breaching of oil level of 49.68 dollar, Taking into consideration that the largest picture of oil target level of 51.88.
The alternative scenario is that the oil breached the 49.68 level to upside for targeting the 51.88 level.
Sell Oil around the 48.50 levels for target level of 46.10 dollar with the activation of stop loss in the case of the closure of the highest level of 49.68 dollar.
Resistance: 48.50 - 49.68 - 51.88
Support: 47.04 - 44.47 - 42.60
Oil prices rose on Thursday after US government data showed a drop in domestic crude inventories after the US Energy Information Administration report on Wednesday. Data released by the Energy Information Administration showed on Wednesday US crude inventories fell by 2.7 million barrels in the week ending August 16, after posting increases in the previous two weeks. Gasoline inventories rose by 300,000 barrels last week and distillate inventories increased…
- Gold fell amid anticipation of the future of US monetary policy 08:56 am2019-08-22
- Gold prices fell ahead of Federal Reserve Chairman speech 12:08 pm2019-08-21
- Oil prices are rising, Brent is trading above 60 dollar 07:49 am2019-08-21
- Oil prices on Tuesday after sharp gains in the previous session 11:36 am2019-08-20
- Gold prices slightly lower on Tuesday amid trade war developments 09:44 am2019-08-20
- Oil prices rise after Houthi attack on Saudi oil field 11:12 am2019-08-19
- Gold retreats as risk appetite rises early in the week 08:49 am2019-08-19
- Oil rises supported by optimism about trade tensions 09:14 am2019-08-16
- Gold prices fell as trade tensions slowed between US and China 08:39 am2019-08-16