Oil prices rose as much as 2 percent on Thursday as traders covered short positions a day after crude futures were hammered by weak U.S. demand for fuel during the traditionally busy summer driving season.
Technically, Crude may be poised for another fall as it has made bearish candle stick on daily chart also making lower top and lower bottom formation.
Technical indicators RSI is showing negative diversion. It is also trading below 200 and 50 DMA with appearance of dead cross on hourly charts.
On short term trend if Crude oil breaks the support of 44.90 then it can reach up to next support mark of 44.00. On its, 4 hourly chart, it has made inverted flag which is indicating that is it likely to go down side on break out of the same. On higher side 46.00 can react as good resistance mark.
Technically, Crude may be poised for another fall as it has made bearish candle stick on daily chart also making lower top and lower bottom formation.
Technical indicators RSI is showing negative diversion. It is also trading below 200 and 50 DMA with appearance of dead cross on hourly charts.
On short term trend if Crude oil breaks the support of 44.90 then it can reach up to next support mark of 44.00. On its, 4 hourly chart, it has made inverted flag which is indicating that is it likely to go down side on break out of the same. On higher side 46.00 can react as good resistance mark.