Crude oil retests the supports then climbs to retest resistances – technical analyses – 16-11-2016
After the previous bearish movement on oil prices, which reached as far as the level of support 43.50; oil prices rebounded again during the current week leading to re-test 46.80 resistance level and approaching SMA 100.
It is expected that oil prices will experience volatility on Wednesday due to traders awaiting the US Crude Oil Inventories data, considering America is the largest consumer of crude oil in the world.
It is also expected that oil prices will remain low in light of the global political atmosphere, especially after the US election results, which expected to affect oil prices in addition to the turmoil in the Middle East and the conflict between OPEC and Iran over production levels.
Generally; the stability of the current resistance 46.80 will restore the basic bearish moves for the short-term trades, which will target the support level of 45.05 initially and may exceed it, and the ability of the price to rise and hold above 46.80 resistance would open the way for the bullish movement to resist higher resistance levels that expected to target 48.20 initially.