Oil may experience temporary negative pressure 11/8/2023

After the US data appeared yesterday, negative trading dominated the prices of US crude oil futures contracts to face negative pressure, recording a low of $82.67 per barrel.

Technically, by looking closely at the 4-hour chart, we find the price stable below 83.50, achieving a clear breach of the mentioned level, and by looking at stochastic negativity, it increases the possibility of a bearish bias during the coming hours.

Therefore, we tend to be negative, but with caution, aiming to retest 82.00 as a first target and then 81.70 as the next stop before starting the rise again, as long as trading remains stable below 83.50.

From above, it crossed upwards, and the price consolidated above 83.50, leading oil prices to return to the main bullish trend, with targets starting at 84.20 and 85.60 initially.

Note: the risk level may be high.

Note: Today, we are waiting for high-impact economic data issued by the US economy, “Producer Price Index,” and “Initial Consumer Confidence”, and from England, we are waiting for the “Gross Domestic Product” indicator, and we may witness high volatility in prices.

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: 82.00	R1: 84.20
S2: 81.25	R2: 85.60
S3: 79.80	R3: 86.30