Oil is under negative pressure 4/1/2023

Mixed movements tending to be negative dominated the prices of US crude oil futures contracts after it found a strong resistance level around the target to be achieved of 81.25, to record its highest level at 81.41 and start forming a solid negative attack. As a reminder, the previous technical report indicated that a decline below 78.30 is can nullify the attempts to rise and leads the price to visit 76.60, recording its lowest level during the session at 76.61.

Technically, the simple moving averages returned pressure on the price, in conjunction with the clear negative signs on the RSI, which is stable below the mid-line 50.

We may witness a trading session in the red areas, with its first target around 75.30, considering that breaking the above level extends oil losses, as we are waiting to visit 73.40 as the next waiting station, unless we witness any trading again above 78.60.

Note: The release of the report issued by the International Energy Agency regarding oil stocks has been postponed to tomorrow’s session.

Note: The minutes of the Fed’s latest policy meeting are set to come out in the afternoon, and we may witness high price volatility.

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: 75.10	R1: 79.80
S2: 73.40	R2: 83.10
S3: 72.30	R3: 84.70