Commodity forecast / OIL.US / Our expectations
The price is moving in long-term ascending trend and is making higher tops and bottoms. Break of strong zone of resistance where diagonal resistance, SMA 200 and FiBo 38.2 are crossing gives us grounds for long position. Technical indicator: CCI(50) and DeM(14) - both of the oscillators are in zone of overbought but the aren't turning in south direction, which means that the positivism in the market persists.
Fundamental analysis - The extension of OPEC agreement keeps oil price high. The speculation around that the agreement will be further extended is like catalyst for OIL bulls.
Alternative scenario: If the price breaks below the zone of support and make higher top, the positive scenario will be dismissed.
SL: 53.50
Trader Bozhidar Arabadzhiev
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