Buyers stalled above $47.00-09 resistance area
Today the price of crude oil reached $47.32. That peak took the price above the 50% of the move down from the May 2017 high at $47.03. It also moved above the swing lows from the 2nd half of March at $47.09.
The price should have pushed higher on the break. It did not. Instead the price has tumbled lower as buyers turned back to sellers after the corrective move higher. The fall has taken the price to a low of $45.20. It currently trades at $45.35, down -$1.71 or -3.65%.
What now?
The price is approaching the 200 hour MA at $44.88. I would expect buyers against the level (green line in the chart above). A move below and the door opens for more selling. The 100 hour MA above at $46.09 is now resistance.
The fall back below the $47.00 level and below the 100 hour MA, has turned to tide for the price of oil technically. There should be some slowing of the fall at the 200 hour MA but the mindset might be more "sell a rally" vs 'buy a dip".
The USDCAD has been supported by the crude oil fall today. The pair moved above it's 100 hour MA at 1.29769 currently. The high stalled against the high for the week at 1.30135. The price trades between that ceiling and the 100 hour MA.
