Crude Oil under the negative pressure – Analysis - 21-10-2016

Crude oil price continued its negative trading to approach from 50.00$ per barrel barrier, on its way for potential new retest process to the key support 49.34, and as we mentioned in our recent reports, holding above the mentioned support keeps the bullish trend scenario valid and active on the intraday and short term basis, and the price needs to breach 51.65 level to open the way to head towards 53.92 as a next main station.

Stochastic shows clear oversold signals, to support the chances of bouncing bullishly and resume the main bullish trend, noting that breaking 49.34 level will push the price to suffer more losses that reach to 47.15 and might extend to 45.61 before any new attempt to rise.

Expected trading range for today is between 49.34 support and 53.00 resistance.

Expected trend for today: Overall Bullish