Oil Retests Support

US crude oil futures prices succeeded in touching the official target required to be achieved during the previous report at the price of 85.40, recording the highest level of 85.40.

Technically, the current moves are witnessing a bearish tendency due to hitting the resistance level represented by the target, which constitutes an obstacle that limits the occurrence of further rise.

With a closer look at the 60-minute chart, we find the 50-day moving average starting to pressure the price from above, in addition to the stability of intraday trading below 84.40, which increases the possibility of a bearish bias in the coming hours.

On the other hand, we find the stochastic is starting to provide positive crossover signals, which increases the chances of gathering bullish momentum to continue the rise.

With the conflicting technical signals, we will remain neutral for the moment due to the high level of risks around the current levels so that we will be facing one of the following scenarios:

The intrusion below the pivotal support level 82.80/72.70 forces the price to make concessions, with the first target of 82.10 and 81.10 waiting stations.

Skipping the upside and ascending again above 84.40, and most importantly 84.80, enhances the chances of a rise within the official bullish trend, targeting 85.40 and 86.10, respectively.

Note: the level of risk is high.

S1: 82.80	R1: 84.85
S2: 82.10	R2: 86.10
S3: 80.85	R3: 86.85