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The bullish interest rate outlook in US weighed down again on the oil prices

Discussion in 'Current Market Sentiments' started by fx-recommends, Dec 29, 2015.

  1. fx-recommends

    fx-recommends Content Contributor

    Aug 6, 2008
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    CL-FEB16 Daily 29-12-2015 06-27-34 ص.jpg
    CL FEB 16 rebound from $35.34 has been limited by peaking out at $38.26, as the mixture came again under pressure this week to keep it trading below its daily SMA20.

    After CL FEB 16 forming a bottom at $35.16 on Dec. 11, it could form another bottom at $35.34 to have a double bottom formation its second bottom is higher than its first one.

    But the downside pressure could lead again by forming a lower high at $38.34 to limit the rebound from $35.34 until now below $39.12 which has been the highest reached level after reaching $35.16.

    While the interest rate outlook in US is still weighing down on the demand for energy, as the lower the accommodative stance of the Fed can decelerate the economic activity in US and give the greenback lenders higher yields, while the Oil as any other commodity does not provide yields to its buyers.

    CL FEB 16 daily Stochastic Oscillator (5, 3, 3) which is sensitive to the volatility is having now its main line in the neutral region reading 62.011 and also its signal line which is reading 71.346, after peaking below the overbought area which is above 80.

    CL FEB 16 rebound could fix some of its oversold stance over the short term but it is still below its daily SMA20, SMA50, SMA100 and SMA200.

    Important levels: Daily SMA20 @ $37.69, Daily SMA50 @ $41.36, Daily SMA100 @ $43.15 and Daily SMA200 @ $49.19

    S1: $35.16
    S2: $33.54
    S3: $33.22
    R1: $38.26
    R2: $39.12
    R3: $41.98

    Walid Salah El din
    Senior Market Analyst
    Skype : chief.economist.walid
    Tel: UK. +44 1138590277
    Mob: EGY. +20 1224659143
    Archive: http://www.trade-24.com/daily-analysis

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    #1 fx-recommends, Dec 29, 2015
    Last edited: Dec 29, 2015

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