WTI CRUDE OIL - Plummeted More Than 5% at $50.40 - Profit Booked! - 03/09/2017 (GMT)

The West Texas Intermediate crude oil edged sharply lower over yesterday’s trading session and plummeted more than 5% in just one day. The oil had an aggressive sell-off and penetrated successfully the consolidation area that was holding since December 2016. In addition, the price hit our recommended target at $52.10 (see technical analysis here: http://bit.ly/2mX1T4z) and it slipped until the $50.40 support level that found an obstacle.

For now on, our expectation is a further decline until the 200-daily SMA near $49.30 or moreover, until the ascending trend line that occurs for the last almost one year and overlaps with the 100-weekly SMA. Technical indicators dipped into their oversold areas with very strong momentum. The RSI indicator is moving south near the 30 level and the MACD oscillator is moving below the trigger line.