WTI Oil cracked strong resistance at $47.42 (Fibo 38.2% of $50.41/$45.57 descend) on Monday but without clear break higher for now.
Extension of strong two-day rally on Thu/Fri which broke above daily cloud (cloud twists today) may rise to $47.99 (daily Kijun-sen) on firm break above $47.42 pivot.
The oil prices regained traction on production outages after Hurricane Harwey, however, rising geopolitical tensions over North Korea may trigger stronger sell-off, as oil is seen as risky asset.
Near-term outlook is positive but firm break above Fibo barrier at $47.42 (reinforced by falling 100SMA) is needed to confirm bullish continuation.
Otherwise, the downside would remain vulnerable, with pullback below daily Tenkan-sen ($47.02) and 55SMA ($46.85) to weaken near-term tone and risk further easing.
Narrow ranges are seen as likely scenario today, due to US Labor Day holiday.
Res: 47.42, 47.66, 47.99, 48.56
Sup: 47.15, 46.85, 46.55, 46.30
