WTI in past three days, rose more than 13%, more so after European Central Bank (ECB) signaled that it might ease policy further in March meeting. However we at FxWirePro, are taking a bi contrarian view to the current mood, just like we have been talking that oil price could reverse on supply shock, which this rally is a temporary respite for oil and global stock market rather than a reverse of course.

Financial position of emerging markets including China, not looking that cheerful and we expect going ahead this scenario would play out, which may not be that bullish for oil.

Even we expect WTI to trade below $32/barrel and face some selling pressure by day end if it gets closer to the level or next week. We are not saying that oil can't reverse from here in the short term, despite fundamental misalignment but as of now there has been no indication that it might breach $32/barrel level.

Brent is likely to face similar resistance in line with WTI.

So far both WTI and Brent has reached all our downside targets but one, which is around $20-22/barrel area. We expect price to reach that level, so rallies are likely to meet sellers.

Key levels to watch - $32/barrel and $35/barrel.