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Crude Oil analysis – 16 March 2020
By: Ahura Chalki
Crude Oil slumped at the beginning of the week, despite the new economic stimulus and rate cuts from the FED and BOJ, since more airlines shutting down the flights and sending the airplanes to the nests, instead of the sky!
Tourism and travel industries were one of most hit industries all over the world from Covid-19 fears, with fewer travels and more border limits.
For now, and the week ahead, signals which investors and traders are getting from the governments and banks is that the economic environment is worse than what they thought and it is also will add the fears and more weights on the oil market.
WTI technical analysis:
In the H1 chart, technical indicators are supporting the bears mostly, RSI at 40, Stochastic supporting the bears and market volume getting lower, while EMA crossing strategy also moves in a negative zone.
Pivot point: 32.81
Resistance levels: 34.90 / 36.27
Support levels: 31.44 / 29.35
Today, the expected trading range is between 29.35 support and 34.90 resistance.
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