A few days ago we sent out a signal concerning the oil price action . In that post (https://fxsits.com/the-xtiusd-price-action-finds-support-after-bearish-fall/), we spoke about the possibilities of bullish price action towards certain levels. Level 39.30 and 41.58 was broken past with ease as price found resistance at its higher high at level 43.83

oil daily chart 12 November 2020
XTIUSD daily chart 12 November 2020

In the chart we see how price finds support at level 41.58 after breaking past it. Now the question is . With price currently trading at 41.74 will we see price move to the higher high ? We believe that could possibly however we are not sure whether price will break the higher high. Looking at the history of candles failing to break past this level . It most definitely clear that this is a strong level and price may struggle to break past it.

Oil H4 chart 12 November 2020
XTIUSD H4 chart 12 November 2020

If price does manage to break past the higher high we could see a high volatility movement due to the nature of the level being strong. The oil price action currently looks like a good bullish. We believe that a clear direction can only be determined once the higher high has been broken past.

NB: Warning Before deciding to participate in the Forex market, you should carefully consider your investment objectives, level of experience and risk appetite. Most importantly, do not invest money you cannot afford to lose. Consider position sizing before entering a trade and manage your risk accordingly. Please read the risk warning before deciding to trade the markets.

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