CRUDE OIL PRICE VIEWS: BEARS Threaten support
- Crude oil prices fell -1% lower on Tuesday due to the risky mood in the markets
- Lower rises are emerging and bears are clearly under slow control during economic activity
- The goods are strongly supported technical assistance keep your bullish trend intact
Crude oil price activity fell -1% during Tuesday’s trading session and closed back below its 100-day moving average. This is the fourth consecutive drop in commodities as markets become tired due to weaker economic data and slower global growth. The mood of traders has also started to deteriorate more broadly major stock indices like Dow and Nasdaq will also come under pressure. Risk aversion is similarly reflected S&P 500 derived VIX indexor an alarm gauge that has risen sharply in the last two sessions.
CRUDE OIL PRICE CARD: DAILY FRAME (February 23 to August 17, 2021)
Oil prices now range from $ 65.00 to $ 66.25 a barrel in the area of critical technical support. It said lower elevations pressure in recent weeks has put increasing pressure on this important support zone. As such, maintaining buoyancy close to current levels and restoring the 100-day moving average is essential for crude oil bulls to sustain the broader upward trend.
The disintegration of this support zone – supported by previous resistance since its highest level on 5 March, a low on 20 July, a lower Bollinger band and a 61.8% Fibonacci retracement in the last rising leg – is therefore likely to lead to a long-term decline in crude market territory. This can be seen in the fact that the price of crude oil will fall by 78.6% towards Fibo and the lowest level in mid-May as a subsequent subsidy. Conversely, protection for crude oil bulls around $ 65.00- $ 66.25 could push the rebound higher to look at the $ 70.00 handle and the 20-day simple moving average again.
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