CRUDE closes below its opening price unable to hold early session gains
Crude Oil (CRUDE) Technical Analysis Report for Jun 11, 2019 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, CRUDE ended Tuesday at 53.05 losing $0.37 (-0.69%). Trading $0.61 higher after the open, the contract was unable to hold its gains as the bears took control ending the day below its opening price. Ending with a weak close near the low of the day sets a bearish note for the next session.
Daily Candlestick Chart (CRUDE as at Jun 11, 2019):
Tuesday's trading range has been $1.13 (2.11%), that's below the last trading month's daily average range of $1.94. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently notably higher than usual for CRUDE.
Prices are trading close to the key technical support level at 52.11 (S1). After having been unable to move lower than 53.05 in the prior session, Oil found buyers again around the same price level today at 52.91. The last time this happened on June 4th, CRUDE actually lost -2.38% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Buying could speed up should prices move above the close-by swing high at 54.84 where further buy stops might get triggered.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Bearish Intraday Reversal" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Oil. Out of 394 times, CRUDE closed higher 53.05% of the time on the next trading day after the market condition occurred.
With five out of the other seven Commodity Markets closing higher today, the ones that stand out on the positive side are CORN gaining 2.43% and WHEAT closing 2.2% higher. On the flipside the worst performers have been COFFEE closing -0.7% lower and GOLD losing -0.08%. Read more