Oil is Losing Momentum

Mixed trading dominated American crude oil, canceling the expected positive outlook in the previous analysis, in which we relied on price stability below the pivotal support 82.70, and we pointed out yesterday that the attempts to stabilize below the pivotal support 82.70 is considered a sign of reversing the trend in the short term.

Technically, today we are inclined to the negativity, relying on the RSI gaining bearish momentum on the short time frames, in addition to stabilizing intraday trading below the minor resistance level 83.40.

Therefore, the bearish bias is likely today, targeting 81.80. The price behavior should be monitored around this level since breaking it extends losses within a bearish corrective path. Its initial target is around 81.00, while its official target is at 79.75.

Only from above, the stability of trading and price stability above the resistance level of the psychological barrier 84.00 can cancel the mentioned view and lead oil to resume the rise again, targeting 85.00.

Note: IEA inventories is due today and may cause high volatility.

S1: 81.90	R1: 84.00
S2: 81.00	R2: 85.30
S3: 79.75	R3: 86.20