US CRUDE OIL

US oil price dipped to session low at $50.17, falling nearly $2 after Saudi energy minister signaled that OPEC will extend production cut at the same level for another nine months.
Oil recovered quickly after spike lower and regained levels above $51.00 per barrel, however, further negative impact cannot be ruled out as markets seems to be expected more radical action from top oil producers.
In addition, recent strong rallies signal that most action on extended output cut has already been priced in.
Wednesday’s close in red after five straight bullish days and probes below broken 100SMA which now acts as strong support (currently at $51.07), with close below the latter could be seen as initial signal of rally’s stall.
Also, bearish signal is developing on strongly overbought slow stochastic on daily chart which is turning south and may trigger correction of $43.74/$51.98 rally.
Psychological $50.00 level marks strong support along with cluster of MA supports that lay below (consisting of 10 / 55 and 200SMA in $49.50/$49.90 zone) which are expected to contain dips and prevent deeper pullback on break lower.
Otherwise, immediate bullish tone is expected to remain intact and keep bullish bias in play for further upside on repeated close above 100SMA.

Res: 51.48; 51.98; 52.62; 53.18
Sup: 51.07; 50.56; 50.17; 49.90