WTI-BRENT S2 S1 CLOSE R1 R2 TREND
DAILY -2230 -2150
WEEKLY –2800 -2430 –2333 –2032 -1600 DOWN
Daily Moving Averages: 21, 55, & 100: -21.34, -20.87, -20.73
Weekly Moving Averages: 55, 100, & 200: -20.20, -18.34, –17.41
Our model for Tuesday looked for Jan to make a new low for the pattern.
While that was achieved, Jan did not fall as low as thought. Nevertheless the marginal new low was sufficient to complete this leg to the downside.
This is going to lead Jan into a mild short covering rally. Since Jan has broken the minor upside pivot at -21.50, a rise to -20.75 to -20.65 is called for. The key upside pivot is -20.60.
Jan will have minor support at the breakout pivot of -21.50. The downside pivot to this support is -21.75.
The key downside pivot is -22.20.
Although not expected a daily settle above -20.60 will look for Jan to climb to -19.60 to -19.50.