Chart Of The Day: WTI weakness can ignore oversold RSI

Thu, 03 Oct 2019 12:51

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Despite oversold conditions of RSI, which generally cause price swings, WTI is less likely to reverse the latest declines as a four-month-old rising trend-line and a falling resistance-line since mid-September, together with 10-day EMA, limit the energy benchmark's near-term advances. As a result, prices can revisit August 08 low close to $51.80 prior to targeting a dip towards $51.40, $50.40 and $50.00 consecutive rest-points.

Alternatively, a longer-term rising trend-line around $52.90 acts as an immediate upside barrier ahead of highlighting $54.00 and then a $54.80/90 confluence region. In case bulls manage to cross $55.00, 38.2% Fibonacci retracement near $57.60 hold the key to a rise aiming $58.70, $59.50 and $60.00.

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