Oil Pulls Back into Resistance. Is it Time for the Bears to Regain Control?

After clearing up some publishing issues that I had on the Vantage FX website yesterday, I’m back to share one last commodities trading chart before we step out for the weekend.

The chart I’m talking about is a favourite of Vantage FX traders and is of course Oil. So let’s take a look at where we’re at now, shall we?

Oil Daily:
Click on chart to see a larger view.

If you’re a regular reader of this morning blog, you’ll have some of these levels already marked down on your chart. The bearish trend in oil is something that we’ve been watching since the commodity once again hit daily resistance back in April.

Price has now pulled back into the above resistance (previous support) zone and printed a sort of double top on the intraday charts.

Zooming into an intraday chart, there is some definite selling momentum coming into the market. Add the fact that yesterday’s daily candle was unable to close above the previous swing high, and you have a case to look out for some bearish continuation here.

Enjoy your weekend away from the markets and remember…

Best of probabilities to you!

Dane Williams – @VantageFX

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Source: Vantage FX Blog