As can be seen from the adjacent chart, MCX crude oil had formed a pull-back, which retraced 38.2% of the previous fall. From there the oil has started tumbling down. It has formed an impulse on the downside and is forming a minor degree bounce. The 40-daily exponential moving average (6156) and the 20-daily moving average (6207) are the key resistances for the bounce, where one can look for a fresh shorting opportunity. A major hurdle for the oil is at 6330. The short-term target on the downside will be the daily lower Bollinger Band ie near 5900, whereas a medium-term target will be the weekly lower Bollinger Band ie near 5700.
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