Monthly chart: ADX is approaching the area of activity, therefore, bulls have time and space for a light correction. If such plan is realized, we will probably see bounce from support 79.49 to 89.46, from where sellers can force oil to move to 67.90 (in the middle run).
Weekly chart: the oscillator is hardly oversold. We can see that correction is developing through Over&Under pattern. A potential bounce area can be continued up to 99 usd per barrel (middle Bollinger band).
Day chart: bullish convergence of the oscillator also confirms our expectations of the upward bounce through reversal on day frame.
Conclusion: so, not lower than from 79.49 we expect upsurge of oil price within 87.00-98.00 (a wide space, where you can look for short signals in the direction of 67.90). Another option is the decline to 67.90 on fundamental news.
Monthly chart: there is a clear tendency to continuation of decline to the area of support 1088.06. Upon that, correction towards middle Bollinger band (1427.10) is probable
Weekly chart: since downward tendency is possible, we confirm a possible correction to 1380, but we also see that market is rather oversold.
Day chart: similar situation. Reaching new local Lows is possible which will cause a bullish convergence and confirm a reversal.
Conclusion: so, further reaching to new Lows, we expect upward correction to 1380.00, after which the metal can be sold again in the middle-term, to the target 1088.00. Another option is the decline to 1088.00.
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