Technical & Fundamental Oil Reports Specialists

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A bit tired. Watch the s/t MAs for guidance

Published Wednesday, April 29th, 2015

The contracts continue to look tired and the range resistance clustered around the recent highs is strengthening. The stochastics are all high and have turned negative, usually evidence of a fatigued market. However, the contracts have proved resilient and we’ve seen markets run up on wavering and erratic stochastics before. The price action is below the 5 day MAs and above the 8 and 13s, except on WTI where it is below the 5 and 8s and above the 13. There are no targets either way at the moment. It’s advised to concentrate on the 8 and 13s tests of the 8s seem likely and on a failure there a cool off slingshot (s/s) move lower down to the 13 would be logical. The upside is maintained whilst over the 8 and 13 but there are no targets higher until the 5s are moved and closed (m/c) over again. WTI is the weakest link. It is below the 5 and 8 day MAs co-located around 57.06/17. It would need a m/c over here to make a leg higher to the recent highs at 58.87 likely. Meanwhile it is above the 13 day round 56.79. It would need a m/c below here to activate further weakness probably down to 55.37.

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Posted by Robin Bieber