WTI OIL Outlook: Extended pullback tests important 20SMA support
|US CRUDE OIL
WTI oil price holds in red for the third straight day and extends pullback from new 2019 high into third straight day.
Weekly chart initial signs of stall of larger uptrend, on bearish divergence on overbought weekly stochastic and Gravestone Doji forming on weekly chart. Pullback was triggered by overbought conditions and profit-taking, as well as on expectations that OPEC will increase output to prevent shortage in oil supply on tightening US sanctions on Iran.
Dips tested support at $63.77 (rising 20SMA) as pullback so far looks as positioning for fresh advance, but break below 20SMA and 16 Apr higher low at $62.98 would signal stronger correction.
Res: 64.78; 65.15; 65.35; 66.27
Sup: 63.77; 63.36; 62.98; 62.37
Interested in Oil technicals? Check out the key levels
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.