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28 Dec 2015
Oil falls sharply as supply glut concerns weigh
FXStreet (Córdoba) - Crude oil prices resumed their declines on Monday amid concerns over global supply glut, with West Texas Intermediate futures down to $36.64 and Brent back near the multi-year low posted last week.
WTI technical view
“Daily basis, the commodity is trading back below a bearish 20 SMA after a brief advance above it, while the technical indicators have turned lower, and the RSI indicator anticipates some further declines now standing around 41”, said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, the price is also below its 20 SMA while the technical indicators have lost their bearish strength and turned flat around their mid-lines, after retreating from oversold readings reached late last week”.
Bednarik locates next support levels at 36.60 35.90 35.35, while she places next resistances at 37.20 37.80 38.50.
WTI technical view
“Daily basis, the commodity is trading back below a bearish 20 SMA after a brief advance above it, while the technical indicators have turned lower, and the RSI indicator anticipates some further declines now standing around 41”, said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, the price is also below its 20 SMA while the technical indicators have lost their bearish strength and turned flat around their mid-lines, after retreating from oversold readings reached late last week”.
Bednarik locates next support levels at 36.60 35.90 35.35, while she places next resistances at 37.20 37.80 38.50.