WTI OIL maintains bullish tone but without stronger upside action so far
Oil price ticked higher on Tuesday after previous day’s action showed strong indecision, ending in long-legged Doji candle.
Fresh bulls attempt through 20SMA ($57.52) which capped past two day’s action, break of which would open next pivot at $57.79 (Fibo 61.8% of $59.02/$55.81 downleg) and spark stronger rally on break.
Bullishly aligned daily techs are supportive with oil price being boosted by North Sea pipeline outage and expectations for another draw in US oil inventories (API report is due late today and EIA will release its weekly report on Wednesday).
Solid supports lay at $57.13 ( broken 10SMA) and $57.04 (broken Fibo 38.2% of $59.02/$55.81) and only sustained break here would weaken near-term structure.
Res: 57.56; 58.26; 58.54; 58.86
Sup: 57.13; 57.04; 56.57; 56.08