Oil extends its gains 9/2/2023

US crude oil futures prices achieved our first target during the previous trading session, which is at 78.40, to record its highest level at $78.53 per barrel.

Technically, oil is still maintaining its bullish context after establishing a good support base of around 78.00, accompanied by the positive impulse of the 50-day simple moving average and supported by the clear positive signs on the 14-day momentum indicator.

Therefore, the possibility of continuing the rise still exists, knowing that the breach of 78.50 is a catalyst that enhances the chances of visiting 78.90, the next station whose bullish targets extend to visit 79.40.

The decline below 77.50 postpones the chances of a rise but does not cancel it, and we may witness a bearish tendency that aims to retest the 50-day simple moving average at 76.60 before attempting to rise again.

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: 77.50	R1: 78.90
S2: 76.60	R2: 79.45
S3: 76.10	R3: 80.30