The Brent crude oil recouped most of the early November losses and turned green last week ended Nov 8.
Going forward, there is a lot of uncertainty and optimism surrounded a trade deal between US-China and oil excess supplies also weighed on the market; hence, the oil price continues to face selling pressure at higher levels around 200Mas.
The technical sentiment is not in favor of bulls; we may see some more consolidation after a big swing between Aug-Sep. Oil traders are waiting for fresh clues as global growth in stake.
The relative strength index (RSI) indicator is not showing any strength, strongly suggests a weakening phase, whereas the oscillator is remaining bullish.
If the price holds $62.30 levels amid weakening in the coming sessions, then it could move towards the key resistance level located at $63.00. In case bulls manage a sustained trade above $63.00 levels (200EA), then the strength may get extended up to $64.00-$64.15 levels.
Support is visible in the $61.15-61.00 zone, and a breach of $61.00 will accelerate the selling pressure. In this case, wait for $60.30-60.00 and $59.00 levels.
It is important to always keep in mind the risks involved in trading with leveraged instruments.
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