Crude Oil Price At Risk of Additional Losses
- Crude oil price is facing resistance near the $78.50 zone.
- A major bearish trend line is forming with resistance near $78.50 on the 4-hours chart.
- Gold price is struggling to clear the $1,850 resistance zone.
- EUR/USD might slide further below the 1.0600 support zone.
Crude Oil Price Technical Analysis
Crude oil price started a fresh decline from the $80.50 resistance against the US Dollar. The price declined below the $78.50 support to move into a bearish zone.
Looking at the 4-hours chart of XTI/USD, the price settled below the $78.00 support, the 100 simple moving average (red, 4-hours) and the 200 simple moving average (green, 4-hours).
There was a sharp move below the 50% Fib retracement level of the upward move from the $72.14 swing low to $80.56 high. An immediate support is now forming near the $75.40 zone.
The 61.8% Fib retracement level of the upward move from the $72.14 swing low to $80.56 high is also near the $75.40 level. The next major support sits near the $74.00 level. Any more losses might call for a test of the $72.20 support zone in the coming days.
On the upside, the price is facing resistance near the $78.00 zone. The next major resistance is near the $78.50 zone and a bearish trend line. A clear move above the $78.50 resistance could open the doors for another steady increase towards $82 or even $85.
Looking at gold price, the bears are still active below the $1,850 resistance zone and there is a risk of another bearish wave.
Economic Releases to Watch Today
- German Consumer Price Index for Jan 2023 (YoY) – Forecast +8.7%, versus +8.7% previous.
- German Consumer Price Index for Jan 2023 (MoM) – Forecast +1%, versus +1% previous.
- German IFO Business Climate Index for Feb 2023 – Forecast 91.4, versus 90.2 previous.