Fundamental Development: Oil prices fell on Wednesday, taking a breather from a near 4% surge the previous day, on receding fears of an imminent output cut by the Organization of the Petroleum Exporting Countries and allies, a group known as OPEC+. Global benchmark Brent crude futures fell 40 cents, or 0.4%, to $99.82 a barrel, after rising 3.9% on Tuesday. The U.S. West Texas Intermediate crude futures contract was down 27 cents, or 0.29%, at $93.47 a barrel, having jumped 3.7% the previous day. Both contracts soared on Tuesday after the energy minister of de facto OPEC leader Saudi Arabia flagged the possibility of supply cuts to balance a market it described as "schizophrenic", with the paper and physical markets becoming increasingly disconnected.
Short Term Technical View: In daily chart XTIUSD is trading below 200 SMA & in 1-hour chart, XTIUSD is trading above middle line of Bollinger band indicator. As per RSI Indicator showing bullishness in 1-hour chart, XTIUSD pivot level is 92.75 as per today 1-hour chart, my view is buy on dip strategy is good for XTIUSD. Buy range of XTIUSD is 92.75 to 92.50 and there is very strong support zone at 91.50.
Alternative Scenario: If XTIUSD will trade above 91.50 and sustain below in U.S. Session so it will be, give great opportunity to sell with the target of 90 with the stop loss of 92.75. (Note: Crude oil inventories at 8 PM IST)
Short Term Technical View: In daily chart XTIUSD is trading below 200 SMA & in 1-hour chart, XTIUSD is trading above middle line of Bollinger band indicator. As per RSI Indicator showing bullishness in 1-hour chart, XTIUSD pivot level is 92.75 as per today 1-hour chart, my view is buy on dip strategy is good for XTIUSD. Buy range of XTIUSD is 92.75 to 92.50 and there is very strong support zone at 91.50.
Alternative Scenario: If XTIUSD will trade above 91.50 and sustain below in U.S. Session so it will be, give great opportunity to sell with the target of 90 with the stop loss of 92.75. (Note: Crude oil inventories at 8 PM IST)