WTI crude oil is trading at 80,04, just above the lower channel of the symmetrical triangle and below SMA 21 (82,19). A technical bounce is expected in this zone which could push the price up to the 21 SMA around 82,19.
According to the daily chart we can see that WTI has been consolidating since the beginning of November below the SMA of 21. This could be a negative sign for crude and its price could fall to the 4/8 level at 75,00.
The eagle indicator touched the 95-point level on October 26. Since this day, crude oil has entered a phase of consolidation. It is likely that the downward movement will continue in the next few days, for this it should break below the symmetrical triangle around 79,50.
The strong uptrend of crude that originated on August 19 seems to have come to an end. We could say that it is now in the short-term downtrend. WTI is expected to continue trading within the price range between 78,12 - 82,19 for the next few days.
A sharp breakout and consolidation above 82,19 could be the start of a bullish move that could reach the 8/8 Murray level at 87,50.
On the contrary, a break below the symmetrical triangle pattern could mean that the bearish force prevails and could accelerate the decline to the level of 78,12 (5/8). If this level is broken, WTI could fall to the pivot point of 75,00 (4 / 8).
Our trading plan is to buy above 79,50 with targets at 82.19 and up to 83.40 where there is the top of the symmetric triangle. Conversely, a break below 79,50 will be the signal to sell with targets at 78,12 and up to 75,00.
Support and Resistance Levels for November 17 - 18, 2021
Resistance (3) 82,57
Resistance (2) 81,84
Resistance (1) 80,79
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Support (1) 79,01
Support (2) 78,12
Support (3) 76,69
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A trading tip for WTI for November 17 - 18, 2021
Sell below 79,50 (symmetrical triangle) with take profit at 78,12 and 75,00 (4/8) and stop loss above 80,30
The material has been provided by InstaForex Company - www.instaforex.com