CRUDE OIL: With Crude Oil remaining bearish and pointing lower following its continued downside pressure, it faces the risk of further decline in the days ahead. This view remains valid as long as CRUDE OIL trades and holds below the 100.75 level. Support lies at the 95.00 level where a violation if seen will aim at the 93.93 level, its Dec 03’2013 low.
Further down, a break of here will pave the way for a run at the 93.00 level.
Further down, support comes in at the 92.00 level, its psycho level and subsequently the 91.00 level. Its daily RSI is bearish and pointing lower supporting this view.
On the upside, resistance resides at the 97.00 level followed by the 98.50 level. A cut through here could propel the commodity further higher towards the 99.39 level, its Dec 31’2013 high. Bulls may come in here but if that fails to happen expect further bullishness towards the 100.75 level, representing its Dec 27’2013 high.
All in all, Crude Oil remains biased to the downside on further bearishness.
Guest post by FX Tech Strategy
