Daily chart: CL is falling sharply below the resistance level at 106.70, after several days trying to consolidate on a bullish trend. It is very likely that the CL fall back to support at 103.85 level. If the CL manages to break that level, it is likely that the current bearish trend to continue for several weeks, due to strong indecision which has moved the CL. However, we recommend waiting for the formation of bearish patterns, to make good trading with the CL. The MACD indicator remains in negative territory, so it is very likely that our bearish outlook is kept alive.
H4 chart: The CL is approaching the 200-day moving average, which could make a bullish rebound. It is very likely that the CL up to resistance at 105.61 level, but we must bear in mind that the CL could break the support at 104.09 level and fall to the support level at 102.68. The CL is very weak and it is possible that this is consolidated below the 200 day moving average, but we must be cautious, because the CL is maintained even above the 200-day moving average. The MACD indicator is in negative territory.
H1 chart: The CL has found strong resistance at 106.82 level, which has formed a Point of Control (POC) very close to the 200 day moving average. Now, the CL is forming a higher low pattern and it is likely that the CL breaks the support at the level of 104.71. If successful, it is expected to fall to the level of 104.00. On the other hand, if the CL managed to break the resistance level at 105.50, which would be expected to rise to the level of 106.02. The MACD indicator is in negative territory, but is approaching extreme oversold levels.
Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the CRUDE OIL breaks a bearish candlestick; the support level is at 104.71, take profit is at 104.00, and stop loss is at 105.41.