Oil suffers great losses 15/3/2023

US crude oil futures prices incurred significant losses during the previous trading session amid intense selling operations, recording a low of $70.83 per barrel.

Technically, the simple moving averages continue the negative pressure on the price from above and support the possibility of continuing the bearish gap. This comes with the clear negative momentum signs on the 14-day momentum indicator.

With trading remaining below the previously broken support level 74.50, the bearish scenario is the most favourable, knowing that confirming the breach of 70.50 increases and accelerates the strength of the bearish trend, paving the way directly towards 68.70.

Only from above, bypassing upwards and rising above 74.50, can ultimately stop the bearish scenario, and oil regains its bullish path, with an initial target of 76.70.

Note: The risk level is high and we may witness random, irregular movements.

Note: Today we are awaiting high-impact economic data that affects the US economy, the “Producer Prices Index, US Retail Sales, and the New York State Manufacturing Index,” as well as the United Kingdom’s “Annual Budget Report,” and we may witness a high fluctuation in prices at the time of release.

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: 70.50	R1: 74.50
S2: 68.65	R2: 76.70
S3: 66.45	R3: 78.55