HomeContributorsTechnical AnalysisCrude Oil Price Trims Gains As Dollar Accelerates Higher

Crude Oil Price Trims Gains As Dollar Accelerates Higher

Key Highlights

  • Crude oil prices started a major decline from the $95.40 zone.
  • A major bearish trend line is forming with resistance near $87.20 on the 4-hour chart.
  • Gold prices are trading in a bearish zone below $1,840.
  • EUR/USD is struggling to recover above the 1.0550 resistance.

Crude Oil Price Technical Analysis

Crude oil price formed a medium-term top near $95.40 against the US Dollar. The price started a major decline below the $92.00 and $90.00 support levels.

Looking at the 4-hour chart of XTI/USD, the price accelerated lower below the $90 level and the 100 simple moving average (red, 4-hour). It even traded below the 200 simple moving average (green, 4-hour).

Besides, there is a major bearish trend line forming with resistance near $88.20 on the same chart. If the bears remain in action, there could be a drop toward the $84.00 support.

The next major support sits near the $83.20 zone. Any more losses might call for a test of the $82.50 support zone or a trend change and drop toward the $80.00 support zone.

On the upside, the price might face resistance near the $86.20 level. The next major resistance is near the $87.00 level or the trend line, above which the price may perhaps accelerate higher. In the stated case, it could even visit the $90 resistance.

Looking at gold prices, there was a major decline, and the price is now showing bearish signs below the $1,840 level.

Economic Releases to Watch Today

  • US Initial Jobless Claims – Forecast 210K, versus 204K previous.
  • US Goods and Services Trade Balance for August 2023 – Forecast $-62.3B, versus $-65.0B previous.
Titan FX
Titan FXhttp://titanfx.com
Titan FX is a technology driven online ECN forex and commodities broker that provides traders with next generation trading conditions, institutional grade spreads, fast trade execution, deep top tier liquidity and the security of financial registration and oversight.

Featured Analysis

Learn Forex Trading