Watching $CL at 68.50 - Key level or dead cat bounce?

asked by u/anjali29 · 7d · 2 answers

Keep an eye on Crude Oil ($CL) around the 68.50-68.60 area today. We hit 68.56 earlier, which is getting dangerously close to last week's lows. If it breaks decisively below 68.50 and fails to reclaim it quickly, I'm thinking we could see a push towards 65. The bounce we've seen from there looks more like a reaction to an oversold condition than strong buying interest. The risk that invalidates this view is a solid close above 70.50, which would suggest a recovery attempt is actually forming. Just my read, but the sellers are definitely in control for now.

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  • u/ortiz_lucas· 1 pts· 7d

    That's an interesting perspective on the bounce. What indicators are you looking at that suggest it's more of an oversold reaction than genuine buying interest at that level?

  • u/kovac_piotr· 1 pts· 7d

    Good call on that 68.50 level. I'm seeing similar signs of weakness; the bounce looks pretty unconvincing. Are you seeing any key support until 65, or is that the next major target?

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