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  • US oil sold off overnight and bears target 61.8% downside level.
  • Bulls need to hold above daily moving averages to gain control.  

US oil is bing whipsawed from one political headline to the next and on fears of a global slowdown. For that matter, the technical picture is blurred, just as the case for the upside was being built on OPEC support and  the bulls were holding just above the 50% retracement of the late Dec to 2019 range.

Earlier in the  week, on the bullish spike, the bulls took  on the cluster of the 20, 50 and 200 daily moving averages to bust through both the 56 and 57 handles. However, the bears have taken back control on the spike to the downside that took out stops at 54.50 for a 50% mean reversion. The path is open all the way to the 53 handle and the 61.8%  retracement target.