Key Highlights
- Crude oil price started a fresh increase above the $80 resistance.
- A key bullish trend line is forming with support near $82.25 on the 4-hour chart.
- Gold prices are moving lower and trading well below $1,925.
- The US Consumer Price Index could increase 3.3% in July 2023 (YoY), up from 3.0%.
Crude Oil Price Technical Analysis
Crude oil price formed a base above the $77.50 level against the US Dollar. The price started a fresh increase and was able to clear a major hurdle at $80.
Looking at the 4-hour chart of XTI/USD, the price settled above the $80 level, the 100 simple moving average (red, 4-hour), and the 200 simple moving average (green, 4-hour).
The bulls even pushed the price toward the $85 resistance. A high is formed near $84.65 and the price is still showing bullish signs. On the downside, initial support is near the $83.10 level. The next major support sits near the $82.30 level.
There is also a key bullish trend line forming with support near $82.25 on the same chart. Any more losses might call for a test of the $80 support zone in the coming days.
On the upside, the first major resistance is near the $84.65 level. The next major resistance is near the $85 level, above which the price may perhaps accelerate higher. In the stated case, it could even visit the $88 resistance.
Looking at gold prices, there was a bearish reaction and the price could now move lower toward the $1,900 support zone.
Economic Releases to Watch Today
- US Consumer Price Index for July 2023 (MoM) – Forecast +0.2%, versus +0.2% previous.
- US Consumer Price Index for July 2023 (YoY) – Forecast +3.3%, versus +3.0% previous.
- US Initial Jobless Claims – Forecast 230K, versus 227K previous.
