The oil prices have slipped to near $90.00 as DXY bulls have attempted recovery in Asia. (Pivot Orderbook analysis)

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• The oil prices have slipped to near $90.00 as DXY bulls have attempted recovery in Asia.
• Advancing 50-and 100-EMAs add to the upside filters.
• Corrective moves are considered an entry area of smart money in a Rising Channel formation.

The pair currently trades last at 90.72.

The previous day high was 92.92 while the previous day low was 89.67. The daily 38.2% Fib levels comes at 90.92, expected to provide resistance. Similarly, the daily 61.8% fib level is at 91.68, expected to provide resistance.

West Texas Intermediate (WTI), futures on NYMEX, have extended losses in the Tokyo session after surrendering the immediate support of $90.90. The black gold has witnessed selling interest as the US dollar index (DXY) has displayed signs of recovery amid anxiety ahead of US mid-term elections.

On an hourly scale, the black gold is auctioning in a Rising Channel chart pattern that indicates an upside structure. The upper portion of the chart pattern is placed from October 20 high at $86.94 while the lower portion is plotted from October 31 low at $84.78.

The asset has corrected to near the 50-period Exponential Moving Average (EMA) at $90.70, while the 100-EMA at $89.80 is still untouched and is aiming higher, which indicates more upside ahead.

Meanwhile, the Relative Strength Index (RSI) (14) has shifted into the 40.00-60.00 range and is likely to find support around 40.00.

Going forward, a drop near the horizontal resistance placed at Wednesday’s high of $89.66 will act as a buying opportunity for the market participants. Bulls may drive the oil prices toward Tuesday’s high at $91.40, followed by Monday’s high at $92.92.

On the flip side, the oil prices could face a sheer downside to near Wednesday’s low at $87.00 if they drop below the round-levels support of $89.00. A slippage below Wednesday’s low may drag the asset further toward October 31 low at $84.78.

Technical Levels: Supports and Resistances

XTIUSD currently trading at 90.72 at the time of writing. Pair opened at 91.28 and is trading with a change of -0.61 % .

The pair is trading above its 20 Daily moving average @ 86.71, above its 50 Daily moving average @ 85.67 , below its 100 Daily moving average @ 91.09 and below its 200 Daily moving average @ 97.46

The previous day high was 92.92 while the previous day low was 89.67. The daily 38.2% Fib levels comes at 90.92, expected to provide resistance. Similarly, the daily 61.8% fib level is at 91.68, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 89.66, 88.04, 86.41
• Pivot resistance is noted at 92.91, 94.54, 96.16

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