Crude Oil Chart

20/05/2014 (Commodity Online) - MCX CPO price has been trading within the upward-sloping trend channel R-S since the past two years forming higher tops and higher bottoms. The price has recently broken the previous low and channel support (S) at Rs 550. A test of immediate support at Rs.523/515 (T) level looks possible in the short term.

The 14-period RSI is currently pointing lower and holding well below the 50 marks indicates further bearish momentum.

As long as the price sustains below short-term channel support line (S) at Rs.555 level on a daily closing basis, Selling on rise is advisable.