WTI Crude continued lower as predicted to reach our target of 93.12 & bottomed almost exactly here at 93.07. We are now so oversold that we have to be on alert for short covering & watch closely for any positive signal. We may be able to test resistance at 94.40/45 but this could hold a move higher. Above 94.60 however is more positive & could target 95.15/30.
Failure to beat 94.06 however keeps the market under pressure for a retest of 93.12/07. A break lower cannot be ruled out in this bear trend & could target support down to 92.67. Below here look for 92.38 then a buying opportunity for the week at 91.60/40. Exit all shorts & try longs with a low for the 2 month correction expected.
Weekly outlook: Last week's close below 94.76 starts this week on a negative & despite being oversold we could target the 200 week moving average & 17 month trend line support at 91.60/40 for a buying opportunity.