Crude Oil Hits One Year High
October 20th, 2009 Posted in Technical Analysis
Name: Anton
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Crude oil was little changed near $80 a barrel after rising to a one-year high as the dollar slipped against the EUR, bolstering the appeal of commodities as an alternative investment. However, as I demonstrated below, it seems that the oil’s bullish run may have run out of steam, and a bearish correction could be underway soon. This might be a good opportunity for forex traders to enter the trend at a very early stage and at a great entry price.
• The technical indicators used are the Slow Stochastic, Relative Strength Index (RSI) and MACD.
• Point 1: The Slow Stochastic indicates a bearish cross, which may signal a downward movement is going to occur in the near future.
• Point 2: The RSI signals that the price of this pair currently floats in the over-bought territory, indicating downward pressure.
• Point 3: The MACD signals a bearish course for the pair is imminent, as the MACD oscillator is set to go reverse course anytime soon.
Crude Oil 4-Hour Chart
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Tags: commodity prices, Crude Oil, crude oil today, crude prices, Forex, forex blog, MACD, oil prices, RSI, Slow Stochastic, Technical Analysis
