Oil: selling pressure continues 8/12/2022

US crude oil futures prices declined significantly within the expected downward path during the previous analysis, touching the first target to be achieved at 72.50, recording its lowest level at $71.77 per barrel.

Technically, we find the simple moving averages continue to exert negative pressure on the price from above, in addition to the stability of the RSI below the mid-line 50, on the other hand, we find signs of positivity starting to appear on the momentum indicator.

We may witness limited attempts to rise in the coming hours, aiming to retest 73.50, and it may extend to 74.00, noting that the limited bullish bias does not contradict the continuation of the bearish daily trend, whose official targets are located around 71.25 & 70.00 once 71.75 is broken.

Note: The level of risk is high and may not be commensurate with the expected returns.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 71.25	R1: 74.85
S2: 69.70	R2: 76.90
S3: 67.65	R3: 78.45