Crude oil loses momentum – Analysis - 22-01-2018

Crude oil price moves inside the correctional bearish channel that appears on the above chart, noticing that stochastic loses its positive momentum clearly to reach the overbought areas’ thresholds now, which supports the chances of continuing the bearish correction on the intraday basis, reminding you that breaking 62.80 will confirm heading towards 61.50 as a next main station.

Therefore, the bearish trend will remain dominant in the upcoming sessions unless the price managed to breach 63.80 level and hold above it, as breaching this level will form strong positive motive that supports the chances of resuming the main bullish trend that its targets begin by testing the previously recorded top at 64.88.

Expected trading range for today is between 61.50 support and 64.88 resistance.

Expected trend for today: Bearish