Near-term price action in neutral mode, entrenched within $45.70/$47.00 range for the second day.
Recovery from strong downside rejection at $43.74 last Friday was capped by falling daily Tenkan-sen, which also limited today’s upside attempts at $46.74.
Bearish daily studies maintain downside risk, as the price failed to capitalize more on bullish signal from slow stochastic reversal from oversold territory.
Break out of current congestion is needed for stronger direction signal, with lift above $47.00barrier to open next upper pivots at $47.56/67 (Fibo 38.2% of $53.74/$43.74 descend / falling 10SMA) break of which would generate stronger bullish signal.
On the other side, loss of $45.70 handle would risk retest of spike low at $43.74 and extension towards next downside pivot at $45.32 (Fibo 61.8% of $39.20/$55.22 rally).
Fundamentals remain negative for oil price and keep downside under pressure.
Res: 46.76, 47.00, 47.67, 48.74
Sup: 46.26, 45.70, 45.28, 43.74
