WTI and Brent Crude Oil charts: bears tighten their grips

In the previous post on the 6 months daily bar chart pattern of WTI CRUDE OIL, a strong bear attack had pushed oil’s price briefly below its 200 day EMA. Daily technical indicators were looking oversold, and a bounce up in price was expected. However, weekly technical indicators were looking bearish – which indicated some more correction or consolidation.

Shortly after the previous post, oil’s price dropped to an intra-day low of 99 before bouncing up above all three EMAs to touch an intra-day high of 104. Bears availed the opportunity to sell. Oil’s price dropped below its 200 day EMA once again, and fell almost to 96, before moving up to close above the 97 level.

Note the strong volumes on down days that indicate a strong bear grip. By touching a lower top and falling to a lower bottom, the bearish pattern of ‘lower tops and lower bottoms’ of the past 2 months continues. The 20 day EMA has crossed below the 200 day EMA. If the 50 day EMA follows suit, the ‘death cross’ will technically confirm a bear MARKET