Crude Oil Price Declines Massively, US PMI’s Report Next

Key Take-Aways

  • The price of crude oil dropped below $110 support.
  • On the 4-hour chart, it transacted beneath an ascending trend line with support close to the $114.50.
  • The price of gold (XAUUSD) is integrated below the $1,850 zone.
  • The anticipated US Manufacturing PMI is forecasted to decline from 57 to 56 in June 2022 (Prelim).

Crude Oil Price Technical Analysis

Following a strive to break the $125 strong resistance level, crude oil began a new decline against the US Dollar. It smashed the $115.00 support level to maintain a short-term downtrend.

On the 4-hour chart, it smashed beneath an ascending trend line with support close to $114.50. the commodity further resolved below the $110 price level, the 1000 simple moving average (red, 4 hours), and the 200 simple moving average (green, 4 hours).

Furthermore, the sellers drove the price beneath the $105.00 level. There is a likely risk of more decline towards the $100.00 support if they maintain ground.

The succeeding key support is close to $98.00. Another strong support layer is spotted near $95.0, beneath which risk of further downside towards the $92.50 price level is likely. Increase losses beyond these levels could drag the price point downward for a test of the $88.00 support area.

The initial support at $107.50 stands as resistance on the upside. The succeeding key resistance is close to the $112.50, beyond which the price could gain momentum towards the $115.00 region.

For gold, the price is striving to smash the $1,850 region. A break of $1,850 might trigger a bull run for massive gains.

  • Germany’s manufacturing PMI for June 2022 (Preliminary) – Forecast 54.0, versus 54.8 previous.
  • Germany’s Services PMI for June 2022 (Preliminary) – Forecast 54.5, versus 55.0 previous.
  • Euro Zone Manufacturing PMI June 2022 (Preliminary) – Forecast 53.9, versus 54.6 previous.
  • Euro Zone Services PMI for June 2022 (Preliminary) – Forecast 54.5, versus 55.0 previous.
  • UK Manufacturing PMI for June 2022 (Preliminary) – Forecast 53.7, versus 54.6 previous.
  • UK Services PMI for June 2022 (Preliminary) – Forecast 53.0, versus 53.4 previous.
  • US Manufacturing PMI for June 2022 (Preliminary) – Forecast 56.0, versus 57.0 previous.
  • US Services PMI for June 2022 (Preliminary) – Forecast 53.5, versus 53.4 previous.
  • US Initial Jobless Claims – Forecast 227K, versus 229K previous.