Technical analysis for crude oil – 22 May 2013 — Over the WTI crude passed somewhat by a negative session on Tuesday. But you can see that the same general area provide support, at the level of $ 95.50 the level which continue to form a problem for the sellers who want to gain profits from Oil market. In spite of this, I think that sellers will face a big problem especially in the Short position selling process. The issue which could lead a lose for Oil investors on the short position.
I simply believe that there is a lot of support levels at the bottom prevents from taking a short position in general. However, the overall market is also relatively choppy, and for this reason I feel that any long positions will be mostly short-range trading at the best circumstances . In reality, I see that oil market intermittently in today session and the market is very fluctuate.
Look for a rebound at this stage
I think most likely we will see some kind of rebound from one of the support levels at the bottom, and as a result, I, I will ignore any signals to sell again in the near future. In fact, although I think that Oil market not generally upward also certainly not on descending as well.
I think we probably will find direct support at the bottom, and we will make another attempt at the level of $ 97.00 before everything else. I do not know if we can hack out of this level, but on the long-term it indicate that the $ 98.00 level directly above the resistance level as well, as is the case with at the level of $ 99.00. For this reason I do not expect any strong moves to the top, and for this reason I will collect profits quickly.