Oil: bleeding losses continue/10/2023

US crude oil prices continue to fall amid intense selling operations within the strong downward trend expected during the previous technical report, exceeding the first official target of 82.75, approaching by a few points from the second target of 82.00, recording its lowest level of $82.20 per barrel.

Technically, the downward trend is still valid and effective, relying on the continuation of the negative intersection of the simple moving averages, which is stimulated by the negative signals of the Relative Strength Index on short time intervals, in addition to the stability of trading below the previously broken support level and converted to the 83.70 resistance level, 61.80% Fibonacci retracement.

Therefore, we maintain our negative expectations, knowing that sneaking below 82.00 will facilitate the task required to visit 81.60 as a first target, and then 80.60 as a next official station, unless we witness any trading above 83.70.

Crossing upwards and the price consolidating above 83.70 postpones the chances of a decline, and we may witness a temporary recovery to retest 84.20 and 85.50 before declining again.

Note: Today, we are awaiting high-impact economic data issued by the American economy, “US jobs data (NFP), average wages and unemployment rates, and we may witness high price fluctuation when the news is released.

Note: Risk level may be high.

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: 81.60	R1: 84.25
S2: 80.55	R2: 85.90
S3: 78.90	R3: 86.95