Crude(30.10.2014) fall sharply in last couple of weeks & likely continue.
Now crude is trading around $81.30 & we can see on charts crude unable to trade able broken support area of $84.20 while a formed a very bearish candlestick pattern just below the resistance. The minor ascending channel broken by crude suggest that consolidation done here & we may witness more downfall in coming trading sessions. Technically crude may find support at $79-77 area but before the hidden negative divergence (LH/HH) will do its job.
On fundamental side, crude inventories continue rising while end of QE3 & slowing economy from europe & china will put more pressure.
Based on above studies, crude probably downside for possible targets around $79.20 & then $77.30 in coming trading sessions. However a day close above $84.20 will reject the forecast.
Note – Above technical analysis is not a buy/sell recommendation. For recommendations Contact Us