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Thursday, February 11, 2010

Crude Oil Chart >>> Monthly Uptrend Facing A Strong Dollar

NYMEX crude oil prices are still in a longer-term uptrend, as seen on the monthly continuation chart for nearby crude-oil futures at the New York Mercantile Exchange.

See the longer-term technical support and resistance levels on the chart. From a critical, Fibonacci perspective, the 50% retracement level of the price move from the all-time high of $147.27 scored in July of 2008, to the low of $33.20 scored in January of 2009, comes in right around the $90 level.

If crude oil does continue to trend higher in the coming weeks, then the bulls will target $90 as their next major upside technical objective. If the U.S. dollar index continues to trend higher, then the uptrend in crude-oil futures will likely not be sustainable.

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