Crude Oil Daily Technical Outlook

Written by Oil N' Gold |
Nymex Crude Oil (CL)

With 4 hours MACD crossed above signal line, an intraday low is in place at 67.43 and outlook is turned neutral for the moment. Nevertheless, another fall is still in favor as long as 71.60 minor resistance holds. Below 67.43 will target 65.23 support next. As discussed before, sustained trading below near term trend line will affirm the case that whole rise from 58.32 has indeed ended at 75.0 already. Break of 65.23 will confirm and target 58.32 support next. On the upside, above 71.60 will flip intraday bias back to the upside for a test on 75.0 again and probably bring rally resumption to next long term fibonacci resistance at 76.77 (38.2% retracement of 147.27 to 33.2).

In the bigger picture, there is no change in the view that rise from 33.2 is a correction to whole down trend form 147.27. Hence, strong resistance is expected as crude oil enters into 76.77/90.24 fibo resistance zone (38.2% and 50% retracement of 147.27 to 33.2) and bring reversal finally. On the downside, break of 65.23 support will now be an important signal that crude oil has already topped out and will turn focus back to 58.32 key support for confirmation.