Oil suffers huge losses 4/9/2024

U.S. crude oil futures experienced significant losses, surpassing the downside targets set in the previous trading session at 72.20, and recording a low of 69.75 during today’s Asian session.

Technically, the 4-hour chart indicates that the bearish technical structure remains intact and effective, further reinforced by the ongoing negative pressure from the simple moving averages.

As a result, with trading stabilizing below the previously broken support level, now acting as resistance at 72.20 (in line with the role reversal concept), the downward trend is likely to continue. The initial target is 69.00, and a break below this level could accelerate the decline, opening the way toward 68.40.

However, if the price consolidates above 72.20, it could invalidate the bearish scenario, leading to a potential recovery with targets at 72.85 and 73.40.

Warning: The risk level is high, particularly amid ongoing geopolitical tensions, which could result in significant price volatility.

Disclaimer: This analysis is for informational purposes only and should not be considered as financial advice. The risk level remains high in this market, particularly due to ongoing geopolitical tensions, which could result in heightened price fluctuations.

S1: 68.35	R1: 72.85
S2: 66.80	R2: 75.80
S3: 63.80	R3: 77.40