WTI Oil continues to struggle at $52.00 barrier on Monday, following several unsuccessful attempts last week after upticks hit highs at $52.35 but failed to clearly break higher.
Two strong downside rejections on Thu/Fri signaled strong bullish bias but did not manage to generate stronger momentum for final break higher and test of target at $52.84 (28 Sep high).
Overall structure remains bullish with signs of US oil market tightening and rising demand in Asia being supportive for further advance.
Formation of daily Tenkan-sen / Kijun-sen bull cross underpins, but the price may stay in extended consolidation, as negative signal has been generated on reversal of slow stochastic from overbought territory on daily chart, with south-heading indicator showing plenty of room at the downside.
Extended downticks face solid supports from rising 10SMA ($51.54) and Tenkan-sen ($51.25) which are expected to contain and keep the downside protected.
Res: 51.96, 52.35, 52.84, 53.00
Sup: 51.73, 51.54, 51.25, 50.97
