Crude oil: Mathematical analysis with Murray Lines for November 08, 2013
November 11, 2013 9:15 am
Daily chart
Right now crude oil stays below 94.50 during the session after yesterday it tried to overcome the peak during the Wednesday’s session.
This market has shown the $95 level is resistance, as one would expect as it is a large round psychologically significant number, and as a result the sellers stepped in. Because of this, we feel that the market will continue to grind a little bit lower, but with Nonfarm payroll figures coming out it is very difficult to imagine how that economic announcement is going to affect this market since we do not know the results.
That being the case, we do recognize the fact that if the jobs number is stronger than anticipated, this could be a mixed bag. This is because it would imply that there will be more demand for crude oil, but at the same time this could bring the value the US dollar higher, which of course works against the value of crude oil. Because of this, we expect this market to be extraordinarily volatile. On top of that, if the number is poor, then you have questions as to whether or not there will be enough demand, followed very quickly by the fact that the US dollar should depreciate in value.
According to Murrey line the price is on the line 2/8 (red line) potential reversal zone, nor has overcome in its downtrend. So despite the volatility that can exist today, most likely the redirection Crude Oil from this area.
4-hour chart
In the 4-hour chart the slow motions of Crude oil are also observed within its zone range between 93.75 and 94.53. Your support in case of infringing next line 0/8 (solid line) which is considered as the last stand area would be the next level of -1 / 8 where practically there is a new floor. On the other hand, when the line exceeds 2/8 (red line) it would give us the signals of an uptrend. So our suggestion is to see clearer signs so look for entry points.
1-hour chart
Finally on the 1-hour chart like yesterday we note that Crude Oil has still not moved out of the triangle, which was formed by the two trend lines, although everything seems to indicate that after hitting the green bottom line its trading range and to have passed at this hour of the morning the daily pivot located at 94.45. There is a high probability that the rate begins to climb at least until 95.95 where there is the second daily support. However, as it was mentioned the area is an important resistance 95.00 and while that area is not exceeded significantly, there is the likelihood of downward pressure.
If you have any questions or suggestions, please contact me right through:
No information published constitutes a solicitation, offer, or recommendation, to buy or sell any investment instrument, to effect any transactions, or to conclude any legal act, whatever its nature.
The information published and opinions expressed are provided on an only for information only and is subject to change without notice, delimiting the company responsibility for decisions originating from the same, and they cause any kind of profit, loss or damage.
The material has been provided by InstaForex Company – www.instaforex.com
Daily chart
Right now crude oil stays below 94.50 during the session after yesterday it tried to overcome the peak during the Wednesday’s session.
This market has shown the $95 level is resistance, as one would expect as it is a large round psychologically significant number, and as a result the sellers stepped in. Because of this, we feel that the market will continue to grind a little bit lower, but with Nonfarm payroll figures coming out it is very difficult to imagine how that economic announcement is going to affect this market since we do not know the results.
That being the case, we do recognize the fact that if the jobs number is stronger than anticipated, this could be a mixed bag. This is because it would imply that there will be more demand for crude oil, but at the same time this could bring the value the US dollar higher, which of course works against the value of crude oil. Because of this, we expect this market to be extraordinarily volatile. On top of that, if the number is poor, then you have questions as to whether or not there will be enough demand, followed very quickly by the fact that the US dollar should depreciate in value.
According to Murrey line the price is on the line 2/8 (red line) potential reversal zone, nor has overcome in its downtrend. So despite the volatility that can exist today, most likely the redirection Crude Oil from this area.
4-hour chart
In the 4-hour chart the slow motions of Crude oil are also observed within its zone range between 93.75 and 94.53. Your support in case of infringing next line 0/8 (solid line) which is considered as the last stand area would be the next level of -1 / 8 where practically there is a new floor. On the other hand, when the line exceeds 2/8 (red line) it would give us the signals of an uptrend. So our suggestion is to see clearer signs so look for entry points.
1-hour chart
Finally on the 1-hour chart like yesterday we note that Crude Oil has still not moved out of the triangle, which was formed by the two trend lines, although everything seems to indicate that after hitting the green bottom line its trading range and to have passed at this hour of the morning the daily pivot located at 94.45. There is a high probability that the rate begins to climb at least until 95.95 where there is the second daily support. However, as it was mentioned the area is an important resistance 95.00 and while that area is not exceeded significantly, there is the likelihood of downward pressure.
If you have any questions or suggestions, please contact me right through:
Email:[email protected]
DISCLAIMER
No information published constitutes a solicitation, offer, or recommendation, to buy or sell any investment instrument, to effect any transactions, or to conclude any legal act, whatever its nature.
The information published and opinions expressed are provided on an only for information only and is subject to change without notice, delimiting the company responsibility for decisions originating from the same, and they cause any kind of profit, loss or damage.
The material has been provided by InstaForex Company – www.instaforex.com
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