WTI Crude Oil Slips – Bearish Engulfing & 50 Periods EMA Plays!

Crude oil has test the resistance level of $61.30. Let us recall that it's the same level which supported the oil on Nov 7 and worked as a..


Today, crude oil prices soared more than 1%, set for its largest one-day increase in a month. The buying triggered after Saudi Arabia said OPEC and its partners supposed demand was bending enough to warrant an output cut of 1 million barrels per day. As a result, investors are entering buying positions to price in the news.

WTI Crude Oil – Technical Analysis

Speaking of the technicals, crude oil has tested the resistance level of $61.30. Let us recall that it’s the same level which supported the oil on November 7 and worked as a double bottom level.

For now, the same level is working a resistance and, interestingly, crude oil has formed a bearish engulfing pattern right below this level which demonstrates a bearish bias of investors.

Support Resistance
59.29 60.76
58.62 61.55
57.15 63.02
Key Trading Level: 60.09

Crude oil is likely to stay bearish below $61.30 until $60 and $59.75. Whereas, the bullish breakout of $61.35 lead the oil prices towards $62.50.

Good luck!

ABOUT THE AUTHOR See More
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.

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