The US Dollar gained a lot of pace recently, and as result OIL dropped. However, it is now approaching a major support area of $57.90-58.00. There is a bullish trend line formed on the 4H chart as well, which might act as a catalyst for an upside reaction. There is a possibility of a bullish scenario around the mentioned level, and that is why I think we should be looking for BUYING opportunity. The 4H RSI has started to move higher after falling close to the 30 level, which is a positive sign.

Important Support – $57.90
Critical Resistance – $59.50

H4 – important support as mentioned around $57.90-58.00.

H4 – First possible target for the buy entry could be around the highlighted bearish trend line.

Entry:
H4 – Buy dips in OIL as long as the $57.90-58.00 support area holds.
Target 1: $59.50
Target 2: $62.00
Stop Loss: A 4H close below $57.80.

Video Explanation:

Yours,
Vladimir