Pushing oil price up can be a very hard task these days. Maybe that’s why the binary bulls were exhausted just after a day-long push. After yesterday’s rise of the oil prices, the bears, once again, took over the binary market.
Today’s downslide is a result of the latest concerns for the global oil demand. Binary analysts were shocked after South Korea suddenly cut interest rates. The stagnation in in the European manufacturing sector and the rise of the Australian jobless rate just added more spice to the petroleum-flavored dish.
Binary options on Crude are mostly trading around the $84.49 line, and we are probably not going to see a significant fall or rise if the news stays calm. The $84.49 line represents a 38.2% retracement of the big upside move from $77.26 to $88.96. At the moment it is choosing between acting as a support or a resistance, but will most likely end up as neither one.
The zones binary traders might want to keep an eye on:
$84.70 is the first line of defense for the binary bears, if bulls decide to attack. The resistance is formed as a 61.8% retracement of the yesterday rise from $83.63 to $86.45.
$85.04 is the next stronghold on the bullish road. This one is constructed as a 50% retracement of the already mentioned move from $83.63 to $86.45.
On the other side, if bears decide to take the things in their paws, the first stop on the road down is $84.23. The support line represents a 78.6% retracement of the same upside move from yesterday.
If binary options break through the first resistance the next possible bastion is located at $84.14. That is one possibly-strong resistance line, because it stands as a 23.6% retracement of the two-month-long dive of the asset from $106.43 to $77.26.
The information in this 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.