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Tuesday, November 10, 2015

WTI and Brent Crude Oil charts: bears selling at every rise

WTI Crude chart

WTI Crude_Nov0915

Another attempt at a rally by the daily bar chart pattern of WTI Crude oil came to naught. After briefly crossing above its 20 day and 50 day EMAs, oil’s price touched a lower top and succumbed to selling pressure.

Down days have outnumbered up days during the past 6 months – showing strong bear domination. The 200 day EMA continues to fall, and oil’s price is trading well below it in a bear market.

Daily technical indicators are in bearish zones, and showing downward momentum. MACD is falling below its signal line in negative zone. RSI and Slow stochastic have crossed below their respective 50% levels.

The Aug ‘15 low of 38 may get tested and breached.

On longer term weekly chart (not shown), oil’s price faced resistance from its falling 20 week EMA, and is trading below its three weekly EMAs in a long-term bear market. Weekly MACD and RSI are moving sideways in bearish zones. Slow stochastic has managed to stay above its 50% level.

Brent Crude chart

BrentCrude_Nov0915

The daily bar chart pattern of Brent Crude oil made another attempt to extricate itself from a strong bear grip, but failed. A brief rally above its 20 day and 50 day EMAs stopped short at the 51 level.

Bears used the rally to sell – as they did a month back. Oil’s price continues to trade well below its falling 200 day EMA in a bear market.

Daily technical indicators are looking bearish and showing downward momentum. MACD has crossed below its signal line in negative zone. RSI and Slow stochastic have dropped below their respective 50% levels.

The low of 42 – touched in Aug ‘15 – may get tested.

On longer term weekly chart (not shown), oil’s price faced resistance from its 20 week EMA, and is trading below its three weekly EMAs in a long-term bear market. Weekly technical indicators are moving sideways in bearish zones.

(Wishing all blog visitors and subscribers a happy Diwali and a prosperous New Year.)

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