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By: Ahura Chalki
Time to pullback?
Oil price gained crazy in past days after a sharp decline in US Oil inventories as well as OPEC+ whispers about new produce cut at the next meeting in early December. Fears of Global economic growth with weaker than expected PMI data, published by yesterday, negatively affected Asian Stock markets, as well as Oil prices. On the other hand, lack of data from Trade Talks’ progress and uncertain Brexit again will push the price deeper. For now, news and economic data, are against the Oil price.
Pullback started from one month high at $56.46, while technical indicators in the H1 and H4 charts have a bit different signals. Parabolic SAR in the H4 chart, still strongly supports the bulls, while in the H1 chart, it started the new downside movement in the past few hours. RSI in both charts still above 50-levels with a positive signal. Stochastic support bulls in the H1 chart, while in the H4 chart, strongly support the correction with falling back down from overbought area. $56.60 and $57.10 are next resistance levels while breaking the 55.40, as immediate support, will take the price deeper to 54.90 and 53.65.
Pivot point: 55.99
Resistance levels: 56.60 / 57.10
Support levels: 55.50 / 54.88
Today the expected trading range is between 54.88 support and 56.60 resistance.
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