Price of Crude Oil Will Likely Recover Gains Higher if Resistance Is Broken.
- The $76.50 area is a point of resistance for the price of crude oil.
- On the 4-hours chart, a connecting negative trend line is forming with resistance close to $76.10.
- Over $1,850, the gold price is consolidating its losses.
- Below the 1.0750 support, the EUR/USD’s drop deepened.
Technical Analysis of Crude Oil
From the $82.40 resistance against the US Dollar, the price of crude oil began a sharp drop. Price fell down the $78.00 support level and entered a bearish zone.
On the XTI/USD 4-hours chart, the price fluctuated below a significant positive trend line. Even the $76.50 support, the 100 simple moving average (red, 4-hours), and the 200 simple moving average were breached by the settlement price.
Finally, near the $72.00 support, the bulls emerged. Before the price began an upward reversal, a low was created around $72.14.
The price is encountering resistance upward close to the $76,000 area. The $76.50 area represents the next significant resistance. Another steady rise toward $78 or even $80 could be possible with a clear break above the $76.50 resistance.
If not, the cost could return to $76. Near the $74 region, an immediate support is now developing. Near the $73.50 mark, the next significant support is located. The $72.40 support area may need to be tested in the upcoming days if there are any additional losses.
Looking at the price of gold, the bulls are attempting to defend the $1,850 support area and may be planning a recovery wave in the near future.
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