FX.co ★ zunaira7518 | CL/Crude Oil

CL Crude oil Analysis On four hour time frame

On 4 hour chart Oil crashed from 100 area down to 85.86 marked in green at bottom. That 85.86 level worked as strong support on 29th May. Buyers defended that zone with long wicks and pushed price up from there. After the bounce price moved up in steps. Blue 20 moving average at 90.90 acted as dynamic support during the whole recovery. Every dip found buyers near this average and price kept making higher lows. Now price 94.73 is right under red resistance 95.93. That red line was support before the big drop. After price moved below it, that line became resistance. This is called support turned resistance. Price touched 95.93 today and got rejected for now.Upper Bollinger Band is curving down from 100 area. Lower Bollinger Band is flat near 86.54. Price moved from lower band up to upper band. This tells us momentum is strong but price reached a key level. If buyers can push price above 95.93 on a 4 hour close then next target becomes 98.00 and then 100.00. If sellers defend this resistance and price stays below 95.93 then we go back to test 90.90 moving average support. A close below 90.90 opens the door for 88.00 and then 86.54. H-1 Chart

On 1 hour chart price is 94.75 right now. The main red resistance is 95.66. Price touched this level on 26th May and again on 2nd June. Both times sellers came in and pushed price down. Now price is touching 95.66 again on 3rd June. Below price the blue 20 moving average on 1H is at 92.75. Price is well above this average. When price stays above 20 moving average on 1H timeframe short term trend stays bullish. The Bollinger Bands are expanding upward. Upper band is near 95.66 and lower band is near 89.85. Price is riding the upper band which shows strong momentum. Major support zone on 1H is 89.85 to 90.56. That zone acted as support during the last pullback before this leg up. Below that the big green support is 86.54. That is the lowest point of this move. For buyers to take control price needs a 1 hour close above 95.66. That would open the path to 98.00 and 100.00. For sellers to take control price needs a 1 hour close below 92.75 moving average. That would bring 90.56 and 89.85 into play. The 92.75 to 95.66 zone is the main battle area on 1H. 15mint Timeframe

On 15 minute chart price is 94.74 right now. The big red resistance at top is 95.56. Price spiked above it once then came back and is now testing it again. There is also a red level at 94.70 just below current price. Price is stuck between 94.70 and 95.56.Blue 20 moving average on 15m is at 94.50. Price is trading just above this average. When price stays above 20 moving average on 15m timeframe short term momentum stays bullish. Bollinger Bands are wide and price is touching the upper band near 95.56. This shows momentum is strong but price reached a wall.Major support zone on 15m is 94.50 blue moving average. If price breaks below 94.50 and closes there then next support is 93.43 green band. Below that the strong green support is 90.56. That level saved price during the last pullback.On 15m timeframe price needs a close above 95.56 to confirm breakout. If price closes above 95.56 and then retests it as support then buyers are strong. If price cannot hold above 94.50 moving average and closes below it then short term momentum turns weak and price falls to 93.43. Trading plan Do not buy at 94.74 right at resistance with 95.66 above. This is risky on all timeframes. Do not short at 94.74 with support below at 92.75. This is how traders get trapped. Wait for price to show its hand with a candle close. For buying setup wait for price to close above 95.93 on 4 hour timeframe or above 95.66 on 1 hour timeframe. After close wait for retest of broken level as support. If price holds above it then buy with stop loss below 93.00. First target is 98.00 round number. Second target is 100.00. If 100.00 breaks on 4H close then add more buying for 102.00. For selling setup wait for price to reach 95.66 to 95.93 resistance zone and show rejection candle on H1 or 4H timeframe. If price touches resistance and forms a bearish candle then short with stop loss above 97.00. First target is 92.75 moving average on 1H. Second target is 90.90 moving average on H4. If 90.90 breaks on 4H close then add more selling for 88.00 and 86.54. Key point Resistance levels to watch are 94.70 on 15m then 95.56 on 15m then 95.66 on 1H then 95.93 on H4 then 98.00 round number then 100.00. Support levels to watch are 94.50 on 15m then 93.43 on 15m then 92.75 on 1H then 90.90 on H4 then 90.56 on 1H then 89.85 on 1H then 86.54 major green line.