Oil touches the first target 28/10/2022

A weak bullish trend dominated the movements of US crude oil futures yesterday, within the expected bullish context, touching the first target required to be achieved at 89.60, recording the highest level at 89.80.

Technically, we tend in our trading to the positive, but cautiously, relying on the positive stimulus coming from the simple moving averages that continue to hold the price from below, in addition to the stability of the daily trading above the 87.10 support level.

Therefore, the bullish trend is most likely today, knowing that the breaching up and rising above 89.50 is a catalyst that extends oil’s gains, so we are waiting for 90.85, a first target, and gains may extend later to visit 91.50.

The return of trading stability below the support floor mentioned above can thwart the bullish scenario and put the price under strong negative pressure, with its initial target of 86.00.

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: 87.10	R1: 89.50
S2: 86.00	R2: 90.85
S3: 84.60	R3: 91.95