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Market View

USOIL Daily Technical Outlook

Monday, January 9, 2017 7:14 AM GMT

When reviewing USOIL daily time-frame, overall the trend remains upwards as there are no visible bearish crossovers in moving averages. The grey resistance zone on 54 kept the prices below and the consolidation still continues. Now USOIL is forming a triangle and heading to 21ema and the trend line (blue). If there is a valid downward violation of the triangle, it would be bearish. The next major support is on 51.60 and the 55ema.



In a closer look of hourly timeframe, the downward momentum is obvious. Bearish crossovers on MAs and currently testing the 61.8% Fibonacci level. Next major supports are 78.6% Fibonacci level as well as the triangle’s trend line (blue). We may see price retracement on those levels but overall buyers need to be cautious as sellers are in control. Possible bearish rejections of moving averages, will give new selling opportunities.


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