FxWirePro: Sell US OIL on rallies
Candlestick- Shooting star and Doji
Ichimoku Analysis (8-hour Chart)
WTI crude oil has halted its 2 –week of an uptrend and shown more than $2 of decline. It was one of the best performers in the past 2-month and surged more than 550% from a low of $6.60 level. The increase in the number of new cases in major countries and surge in US crude inventories is putting pressure on crude oil.
Technically, the commodity is facing strong resistance at $41.10-$41.62, and any convincing break above targets $43//$45.
On the lower side, a significant move can be seen if it breaks below $39 (trend line support). Any indicative violation below will drag the commodity $37.88/$37.06.
It is good to sell on rallies around $40.15-20 with SL around $41.65 for the TP of $37.23/$36.45.