Crude Oil breaches descending channel’s ceiling – Technical Analysis – 17-11-2015

Crude oil price rose recently on the intraday basis to breach the descending channel’s resistance that carried the short term trading, along with the continuation of the negative pressure of the moving average 50, to reach 42.05 key resistance as a first target of breaching the mentioned channel, accompanied by the relative strength indexes reach to the overbought areas, thus, we see a bearish rebound attempting to gather positive momentum that might assist it to rise again and drain this overbought situation.

Therefore, we expect the price to rise in the coming trading, conditioned by breaching 42.05 resistance, targeting 42.90 level as a next main target.