WTI crude oil’s corrective decline from 66.49 resumes today and reaches as low as 61.38 so far. Such decline is on track to first line of defense at 55 day EMA (now at 60.67). Decisive break there will confirm that fall from 66.49 is correcting whole rise from 42.05. WTI should then target 38.2% retracement of 42.05 to 66.49 at 57.15. We’d expect strong support from there to contain downside and bring rebound.
Meanwhile, strong support and rebound from 55 day EMA could bring another rise through 66.49 before forming a medium term top.
