Oil tries to stimulate positive mometum. - Technical Analysis - 28-12-2015

Crude oil prices traded within a tight sideways range in the intra-day levels, attempting to stimulate some positive momentum that would help it rise again, and simultaneously venting off the overbought saturation seen at relative power indicators, and as traders reap profits from the previous advances. The prices are affected by penetrating the ceiling of the descending price channel that limited the previous short-term movements as shown in the attached chart, and with relative power indicators reaching extremely oversold levels.

 

Therefore we reaffirm our positive outlook for crude oil, targeting thereafter the resistance of 39.00.