Tue, Apr 28 2009, 11:15 GMT
by Oil N' Gold Team
Oil N' Gold | View company's profile
Nymex Crude Oil (CL)
With an intraday top in place, outlook in Crude oil remains neutral for the moment. But after all, another rise is still mildly in favor as long as 47.7 support holds. As discussed before, the corrective structure of the fall from 54.66 is consistent with the bullish view that whole rally from 33.55 is still in progress. Above 51.69 resistance will be another signal that recent such rally is resuming for 60, which is close to 23.6% retracement of 147.27 to 33.5 at 60.34.
On the downside, however, below 47.7 will argue that consolidation from 54.66 is extending further before completion. But downside should be contained by 61.8% retracement of 33.55 to 54.66 at 41.66 and bring strong rebound.
In the bigger picture, a medium term bottom is possibly already in place at 33.55 with bullish convergence condition in daily MACD. It's uncertain on how price actions from 33.55 will develop into, be it a strong rally or sideway trading. But after all, with 41.66 fibo support intact, we're favoring the case of strong rally to 55 week EMA at 68.85 first, with prospect of extending to 38.2% retracement of 147.27 to 33.55 at 76.99 next. However, failure at the current level, followed by break of 41.66 fibo support will revive that case that rise from 33.55 is just part of a medium term sideway consolidation pattern and will put 33.55 low back into focus.
Nymex Crude Oil Continuous Contract 4 Hours and Daily Chart
Published on Tue, Apr 28 2009, 11:16 GMT
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