On the daily chart of May contracts for crude oil, we can see that price once again tested the support area defined by weekend price gap sketched between March 4-7 (ranging over 1.5USD). Declines reached the above mentioned zone after a failed test of resistance level which is determined thanks to the October 2015 lows (42.58).
In this place it is worth watching for further developments – so far there is no indication of the stronger rebound (price stopped at the gap’s upper limit almost to the point), but the situation may change during the next trading sessions. Especially that current week brings a number of important macro data reading which should guarantee higher volatility.
D1 Timeframe
