Crude Oil Weekly Technical Outlook

Crude oil dipped sharply to as low as 45.83 last week but recovered since then. The development confirmed short term topping at 51.67 on bearish divergence condition in 4 hours and MACD. Deeper fall is expected to 38.2 retracement of 26.05 to 51.67 at 41.88, which is close to 41.90 resistance turned support. However, considering that crude oil stays inside a near term channel, break of 51.67 will extend the rebound from 26.05 instead.