Short-term consolidation is underway, with Crude Oil prices currently balanced around the USD47.20, (61.8%) Fibonacci retracement.
However downside risks remain in force as bearish weekly studies deepen.
Further weakness is looked for, with a break below the USD47.01 low of 22 March opening up the USD45.28, (76.4%) retracement. Still lower is the USD44.82 low of 29 November.
Resistance is lowered to the USD49.62 high of 16 March. Any immediate break above here should fade beneath the USD50.71 congestion base, as investor sentiment remain bearish. If broken, not seen, prices will trade back into previous congestion, with USD53.00 to then attract.
However downside risks remain in force as bearish weekly studies deepen.
Further weakness is looked for, with a break below the USD47.01 low of 22 March opening up the USD45.28, (76.4%) retracement. Still lower is the USD44.82 low of 29 November.
Resistance is lowered to the USD49.62 high of 16 March. Any immediate break above here should fade beneath the USD50.71 congestion base, as investor sentiment remain bearish. If broken, not seen, prices will trade back into previous congestion, with USD53.00 to then attract.