After the week-long advance of the oil prices, binary options of the asset finally stopped and gave the bulls a break. As it usually happens on the binary markets, when bulls sleep, bears come out. And judging by the already devoured 3% of the price, it looks like binary bears are hungry today.
Today’s session started slow for binary oil. Binary options of the black gold were enjoying an easy going down-slide for the first 5 hours, before the asset’s price fell below $90.95, where, the 23.6% retracement of the rise from $83.63 to $93.21 is located. That was the perfect time for the binary bears to show some initiative, so they started pushing the price down. The five-hour-long deterioration of the price doubled after only a single hour.
In the next few hours, the binary options found some support at the 61.8% line of the falling Fibonacci fan from $106.43 to $77.26. But the next strong push was powerful enough to send the price far below. Thus, breaking easily through the psychological $90 mark and the following support zone, between $89.55 and $89.45. The first number represents the 38.2% retracement of the $83.63 to $93.21 rise and the second one, standing as a 23.6% retracement of the ascension from $77.26 to $93.21.
Just before noon binary oil struck the solid support at $88.42. These levels are pretty big obstacle for the bearish binary traders, because it’s the crossroad for 2 important lines. The first line is the 50% retracement of the already mentioned move between $83.63 and $93.21. The second is the 38.2% line of the Fibonacci fan deployed between $77.26 and $93.2.
Currently, the asset’s price is trying to get back above $89.45 levels, but the resistance is too much for the binary bulls to handle.
The information in the above analysis is collected from different sources and should serve for informative purposes only. The author shall not be held responsible for the validity of the presented information. No part of this analysis recommends the purchase or sale of a currency pair or any other financial instrument.