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(G1) Selling Pressure Dominates

WTI TECHS
  • RES 4: $52.11 - 1.00 proj of Apr - Aug rally from the Nov 2 low
  • RES 3: $50.00 - Psychological round number
  • RES 2: $49.43 - High Dec 18 and the bull trigger
  • RES 1: $47.96 - Intraday high
  • PRICE: $46.68 @ 06:50 GMT Dec 22
  • SUP 1: $46.25 - Low Dec 21
  • SUP 2: $45.14 - Low Dec 9 and key support
  • SUP 3: $44.10 - Low Dec 2
  • SUP 4: $44.06 - 50-day EMA

WTI futures also started the week on a softer note trading sharply lower off Friday's high of $49.43. Trend conditions are overbought and the sell-off does signal the start of a corrective phase. A deeper pullback would highlight scope for a move below the 20-day EMA towards $45.14, Dec 9 low. The underlying trend remains bullish though, a break of $49.43 would instead confirm a resumption of the uptrend.

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