Fundamental Development: Fundamental Development: Oil was up on Friday morning in Asia, but ongoing COVID-19 lock downs dampened fuel demand in China ahead of a long holiday. However, supply disruption fears as Western sanctions impact crude and product exports from Russia underpinned prices. Brent oil futures rose 0.82% to $108.14 after jumping 2.1% during the previous session. With the front-month June contract expiring later in the day, the more active July contract fell 30 cents to $106.96 a barrel. WTI futures gained 0.52% to $105.91 after settling 3.3% higher on Thursday. Both Brent and WTI contracts are set to close the week and month higher, with WTI on track to post five consecutive months of gains. The increased likelihood that Germany will join other European Union member states in an embargo on Russian oil also gave the black liquid a boost.
Short Term Technical View: In 1-hour chart, XTIUSD is showing strong bullishness. XTIUSD is trading upper band of bollinger band also RSI indicator showing strength above 50 levels. XTIUSD is trading above yesterday resistance level 105. As per the chart buy on the dip, strategy is good for XTIUSD. As per my view, XTIUSD buy range is 104 to 103.50 and there is very strong support zone below 103.
Alternative Scenario: If XTIUSD will not sustain above support level 103 in U.S. Session and USD Core PCE Price Index m/m data, indicate negative so it will be give great opportunity to short sell with the target of 101.50 with the stop loss of 104.50.
Short Term Technical View: In 1-hour chart, XTIUSD is showing strong bullishness. XTIUSD is trading upper band of bollinger band also RSI indicator showing strength above 50 levels. XTIUSD is trading above yesterday resistance level 105. As per the chart buy on the dip, strategy is good for XTIUSD. As per my view, XTIUSD buy range is 104 to 103.50 and there is very strong support zone below 103.
Alternative Scenario: If XTIUSD will not sustain above support level 103 in U.S. Session and USD Core PCE Price Index m/m data, indicate negative so it will be give great opportunity to short sell with the target of 101.50 with the stop loss of 104.50.