Fundamental Development: Oil was down on Tuesday morning in Asia as demand concerns spurred as China discovered cases of highly infectious BA.5 omicron sub-variant. Brent oil futures retreated 1.56% to $105.43 and crude oil WTI futures fell 1.67% to $102.34. “Growing fears of a recession and continued sluggish demand in China is pulling oil prices lower, though the current supply-demand balances remain precarious,” Several Chinese cities are adopting fresh COVID -19 curbs to rein in new infections as the country has detected highly infectious BA.5 sub variant cases. On the supply side, Western sanctions on Russia over its invasion of Ukraine have disrupted crude and fuel supply. There have been curtailments of energy supply routes from Russia, which concerns traders and utilities.
Short Term Technical View: In 1-hour chart, XTIUSD is trading below lower line of Bollinger band indicator. As per RSI Indicator showing weakness in 1-hour chart, XTIUSD pivot level is 101 as per today 1-hour chart, my view is sell in rise strategy is good for XTIUSD. Sell range of XTIUSD is 101 to 101.25 and there is very strong Resistance zone at 102.50.
Alternative Scenario: If XTIUSD will trade above 102.50 and sustain above in U.S. Session so it will be, give great opportunity to buy with the target of 104 with the stop loss of 101.
Short Term Technical View: In 1-hour chart, XTIUSD is trading below lower line of Bollinger band indicator. As per RSI Indicator showing weakness in 1-hour chart, XTIUSD pivot level is 101 as per today 1-hour chart, my view is sell in rise strategy is good for XTIUSD. Sell range of XTIUSD is 101 to 101.25 and there is very strong Resistance zone at 102.50.
Alternative Scenario: If XTIUSD will trade above 102.50 and sustain above in U.S. Session so it will be, give great opportunity to buy with the target of 104 with the stop loss of 101.