Oil: Don’t rule out some pullback in the short term for WTI - Natixis

Micaella Feldstein, Research Analyst at Natixis, shares her view on WTI based on the technical analysis.

Key Quotes

“As the daily stochastic is close to the overbought territory, we don’t rule out some pullback in the short term. Yet, these dips should be short lived as the pick-up of the weekly stochastic pleads for a new round of rallies to 49 (daily Bollinger upper band) strong obstacle ahead of 51.55-51.75 (weekly Bollinger upper band).”

“These last barriers will be key in the coming weeks as their break would unleash strong upside potential, signaling a lasting recovery to 53.50 (annual Bollinger moving average) , to  54.30 (Fibonacci extension) and 60.70 (monthly Bollinger upper band and declining trendline).”

“The supports stand at 47.20, at 45.90-46.10, at 43.90, at 42.50 and at 40.60.”