Crude Oil Hits $81 Level
January 5th, 2010 Posted in Technical Analysis
Name: Anton
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Crude oil rose above$81 a barrel on Tuesday as the dollar weakened, prompting investors to once again buy into commodities. However, as I will demonstrate below, Crude Oil may very well be heading for a reversal later today. Forex traders involved with commodities like this can take advantage of this knowledge by going short on Crude Oil now, 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, signaling that the next move may be in a downward direction.
• Point 2: The Relative Strength Index (RSI) indicates that the price of this cross currently floats in the overbought territory, signaling downward pressure.
• Point 3: The MACD indicates an impending bearish cross, which may signal a downward movement is going to occur in the near future.
Crude Oil Daily Chart
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Tags: Crude Oil, crude today, Forex, forex blog, MACD, oil prices, RSI, Slow Stochastic, Technical Analysis
