The US crude oil fell dramatically, extending the Friday decline that halted a weeks-long rally. Sell-off got triggered after the US President Donald Trump asked that OPEC members increase output to abbreviate the impact of US sanctions against Iran.
The WTI Crude Oil market got utterly whacked on Friday, slicing through the $62 level. The market has torn down rather sharply, and the weekly timeframe candlestick analysis seems terrible.
Nevertheless, there are some fields beneath that could extend a bit of support, so keeping an eye on those will be significant. That being said, I believe if we break down beneath the $62.50 trading level, we will have further downward pressure come into the marketplace.
R3: 69 R2: 66.21 R1: 64.53 Key Trading Level: 63.42 S1: 61.74 S2: 60.63 S3: 57.84
US Oil is trading just below 50 periods EMA, and the 20 to 25 day EMA is at the $64 resistance, which also has a certain amount of psychological importance as well.
With all of that in mind, we may see a bullish retracement until $63.20 (23.6% Fibo Level) and $64 (38.2% Fibo Level). All the best with trades!