The price of oil may further retrace the decline from the April high ($71.16) as it continues to carve a series of higher highs and lows, and a move above 70 in the Relative Strength Index (RSI) is likely to be accompanied by a further advance in crude like the price action from earlier this year.
In turn, a break/close above the $70.30 (61.8% Fibonacci retracement) to $71.90 (38.2% Fibonacci retracement) zone may push the price of oil toward the February high ($73.84), with the next area of interest coming in around $76.00 (78.6% Fibonacci extension) to $77.20 (50% Fibonacci retracement).
At the same time, lack of momentum to test the April high ($71.16) may keep the RSI out of overbought territory but need a move below the $64.20 (61.8% Fibonacci retracement) to bring the monthly low ($61.06) on the radar.
--- Written by David Song, Senior Strategist at FOREX.com
In turn, a break/close above the $70.30 (61.8% Fibonacci retracement) to $71.90 (38.2% Fibonacci retracement) zone may push the price of oil toward the February high ($73.84), with the next area of interest coming in around $76.00 (78.6% Fibonacci extension) to $77.20 (50% Fibonacci retracement).
At the same time, lack of momentum to test the April high ($71.16) may keep the RSI out of overbought territory but need a move below the $64.20 (61.8% Fibonacci retracement) to bring the monthly low ($61.06) on the radar.
--- Written by David Song, Senior Strategist at FOREX.com
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.