Oil price is under pressure on Tuesday after International Energy Agency (IEA) cuts its projection for global oil demand this year. In its monthly report, IEA lowers projection for global oil demand as much as 100,000 barrels per day this year. It came as effect of slowing global economy and oversupply problem.

Technical Analysis:

Oil price currently is under pressure. If the price managed to break 44.14, it possibly will keep falling to 43.59-42.97. On the other hand, note that hourly stochastic and CCI are oversold. As alternative strategy, watch for bearish signal confirmation on a pull-back move to within the intraday resistance area at 44.80-45.60 with 44.14 area as target.

But be careful if the price managed to break resistance at 45.60 because it will turn the intraday bias into bullish and possibly will be followed by bullish move up to 45.94-46.49.

Trading Plan:

Sell on bearish signal confirmation within 44.80-45.60; S/L @ 45.80, T/P @ 44.14 area

Crude Oil Chart:

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