Oil Experiences Temporary Negative Pressure

US crude oil futures prices managed to touch the official target that is required to be achieved during the previous report, which is located at 70.00, recording its highest level of 69.98.

Technically, oil prices hit with the resistance level of the psychological barrier within a bearish tendency, to witness the current movements stability below 69.00.

With a closer look at the 60-minutes chart, we find the simple moving averages pressing the price from above, and the stochastic indicator started to gradually lose the bullish momentum.

Therefore, we may witness a bearish tendency in the coming hours, targeting 68.10/68.00 a first target, and we should pay close attention and monitor the price behavior of oil around this level due to its importance to the general trend in the short term, and breaking it will extend oil losses, paving the way to visit 67.55. A breach of 69.30, and most importantly 69.60, will immediately stop the bearish scenario and lead oil to the official bullish track, with a target of 70.00 and 70.50, respectively.

Note: the bearish slope does not contradict the general upward trend.

S1: 68.10	R1: 69.60
S2: 67.55	R2: 70.55
S3: 66.60	R3: 71.10