Trading position (short-term; our opinion): No position is justified from the risk/reward perspective.

Oil's overall situation in the very short term hasn't changed much as major supports remain on the cards. Let's recall our yesterday's observations as they're up to date also today:

(...) the gap remains open and the above-mentioned Fibonacci retracement continues to serve as a support. These suggest that we could see a rebound from here in the very near future. (...) Nevertheless, should we see a successful drop below these supports, we'll likely reopen short positions. We may even reopen them at higher levels after the futures rebound.

Trading position (short-term; our opinion): No position is justified from the risk/reward perspective. As always, we'll keep you - our subscribers - informed.

Thank you.

Nadia Simmons
Forex & Oil Trading Strategist