Crude Oil: The Price Reversal from Support

29. Jan. 2020

The price bounced from 59.00 support zone. We got a bullish candle which confirmed the price reversal. The same goes about RSI, which gave us a bullish signal from the oversold zone. MACD histogram supports a possible upward movement.

If we talk about the trading direction for this market, I would like to buy as the price dropped a lot, and a pullback looks logical.

But we also should think about fundamental reasons which can push the market lower. If the price breaks the support zone and the local swing low,m it will be a new bearish signal. I'm not sure that it will be good for selling, but after a pullback to a downtrend line, SMAs, and reversal signals, why not?

I recommend to add this market to your watchlist as it can provide interesting trade opportunities.



Disclaimer!
This post does not provide financial advice. It is for educational purposes only! You can use the information from the post to make your own trading plan for the market. But you must do your own research and use it as the priority. Trading is risky, and it is not suitable for everyone. Only you can be responsible for your trading.