WTI crude prices buzz with upside targets on 3-white soldiers and bullish DMA crossover, major fragile trend still remains intact:
The strong support and stiff resistance are observed at 46.64 levels.
For now, after test of strong support at 43.64, the formation of 3-white soldiers with bullish SMA crossover indicates more rallies on cards.
We foresee this as a high conviction call as the three white soldier candle is a bullish pattern that is backed by both leading as well as lagging oscillators.
Well, we are not isolating this indication from the price curve, volumes are also in conformity to these healthy rallies.
Current prices are well beyond SMAs, any abrupt price drops likely to test strong support at 45.4729 levels (i.e. 7SMAs).
Momentum study: Both leading oscillators (RSI and Stochastic) indicate healthy strength in prevailing uptrend and intensified bullish momentum by evidencing upward convergence to the rising price curve (refer 4H chart).
While on a broader perspective, the major trend has been bearish that has gone in the consolidation phase.
The decisive breaks below the baseline of ascending triangle likely to cause more weakness in upcoming months, both leading & lagging oscillators on this timeframe indicate strength in downtrend and signals more price slumps.
MACD on both timeframes indicates short term price rises while long-term bulls have to wait for the better clarity.
Ahead of US EIA's crude oil inventory check, oil prices posting solid gains, we stay long in WTI futures contracts of near month tenors.
The strong support and stiff resistance are observed at 46.64 levels.
For now, after test of strong support at 43.64, the formation of 3-white soldiers with bullish SMA crossover indicates more rallies on cards.
We foresee this as a high conviction call as the three white soldier candle is a bullish pattern that is backed by both leading as well as lagging oscillators.
Well, we are not isolating this indication from the price curve, volumes are also in conformity to these healthy rallies.
Current prices are well beyond SMAs, any abrupt price drops likely to test strong support at 45.4729 levels (i.e. 7SMAs).
Momentum study: Both leading oscillators (RSI and Stochastic) indicate healthy strength in prevailing uptrend and intensified bullish momentum by evidencing upward convergence to the rising price curve (refer 4H chart).
While on a broader perspective, the major trend has been bearish that has gone in the consolidation phase.
The decisive breaks below the baseline of ascending triangle likely to cause more weakness in upcoming months, both leading & lagging oscillators on this timeframe indicate strength in downtrend and signals more price slumps.
MACD on both timeframes indicates short term price rises while long-term bulls have to wait for the better clarity.
Ahead of US EIA's crude oil inventory check, oil prices posting solid gains, we stay long in WTI futures contracts of near month tenors.