We last spoke about the XTIUSD price action back in march. In that post we mentioned how price found resistance at its higher high before dropping bearish. We saw price find support at level 63.84 before buyers could regain control of the market and push it bullish back to its higher high. The oil price action has been on range for the past 2 months with price showing no signs of breaks about the range levels.
On the chart you may notice that we’ve set our resistance level at 65.55 and support at level 63.64 . Today price currently trades at level 64.34 . The previous H4 candle closed as an engulfing bar after finding support at 63.64 . Thus giving us a signal of possible bullish price action. The question we ask is where could we see the price move to ? High chances are we could see price trade to its higher which is set at level 67.71 . Chances are we could see price move even further.
We currently believe that the oil the price action currently trades at a cheaper price and day traders could possibly make something out of this move if it happens. However if price has other plans and sellers regain control of the market. Then we could see level 63.64 being tested again. We don’t think price will break past this level due to number of times it has been tested inn the previous market sessions.
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