FX.co ★ CL/Crude Oil

Crude Oil Price Movement Analysis: A trend analysis of crude oil prices is the main topic of debate at this time. The formation of resistance at 97.01/96.91 may indicate a comeback and the start of a local reversal in #CL. The chart (white) indicates an upward tendency, albeit this is uncertain. Prices tried to break this uptrend yesterday, but the weekly close exceeded it, suggesting that #CL may continue to rise. It is evident that the upswing is waning, though, since prices are only 16 pips off their peak, and this does not ensure that it will continue. Before making another purchase, we should wait until prices increase over 97.01. Alternatively, we should think about breaking below the trendline at 96.31 with a target price of $93.30. A downturn is more likely because the H-1 MACD indicator has already indicated a reversion to a downtrend. On Friday, prices hit new highs but failed to break through the resistance level at 97.63. Following a decline to support at 96.38, prices stalled before correcting to resistance at 96.75 and ending at this level. As a result, a 4-hourly candlestick with a lengthy bottom wick was created.

This, in my opinion, is the first indication that the price might turn around and start a positive trend next week. As a result, I anticipate that the price will increase next week in the direction of my original goal of 97.63. The next resistance level at 98.58 may be reached if the price breaks out of this level and stays above it. But if the price reverses below 97.63 and drops to the support level of 96.23, this scenario might be ruled out. A bearish move towards the next important support level at 93.32 could occur if the price breaks below this level and stays below it.