Crude Oil loses momentum – Analysis - 05/10/2015

Crude oil price bounced higher clearly after testing the first critical support level at 44.10, to fluctuate near the EMA50 showing some slight bullish bias now, noticing that stochastic loses its positive momentum and shows clear overbought signals, which keeps the chances valid for resuming the overall bearish trend, as its continuation conditioned by holding below 46.85 level mainly.

We remind you that we need to surpass 44.10 then 43.37 barriers to confirm opening the way towards visiting 37.73 level that represents the next main target for the current bearish wave.

Expected trading range for today is between 43.00 support and 47.00 resistance.

Expected trend for today: Bearish