US oil bounced on Friday from $44.22 low where the price found temporary footstep. Recovery was signaled by reversal of daily RSI from oversold territory and is seen as consolidation ahead of final push towards key support at $43.74 (05 May low). Strong bearish sentiment on concerns over global oversupply and another disappointing crude stocks release keep oil price under increased pressure. Bearish technical studies support negative scenario which requires weekly close below $45.32 (Fibo 61.8% of $39.20/$55.22) for confirmation. Meantime, bears could be interrupted by corrective action on oversold studies. Limited correction is seen ahead of fresh push lower, with strong barriers at $45.08/60 ( Fibo 38.2% / 61.8% of $46.46/$44.22) and $45.82 (falling 10SMA) expected to ideally cap.
Res: 45.08; 45.34; 45.60; 45.82
Sup: 44.22; 44.00; 43.74; 43.06
