Oil (5K) 56.75
Short-term Correction ; Range Market on the upper range – Bearish signals are generated
On the short-term view ; the market has succeeded to continue pushing up the prices upwards gradually to approach the key resistance 56.50
Therefore, our bullish overview has been weakened and we on the side of coming drop to lower levels as a re-test of the broken resistances ( now as a support ) which would be the levels 52.50 and 50.50 as major broken areas .,
However; breaching 57.50 level will offer good positive motive that supports targeting 60.00 followed by 64.00 levels that represent the main targets for the upcoming period., which requires monitoring the price behavior when reaching this resistance due to its importance to detect the price trend on the short term and medium term basis.
However , on the longer -term the fundamental of the market has not been changed and June OPEC meeting is the awaiting event for the energy observer , with no change – as expected – about the adjustment of the supply then more down move is the new wave on the future to target below 40 per barrel .
Daily Trend: UP
Weekly Trend: Down