Crude Oil Price Clears $100, Why Bulls Are Not Done Yet
- Russia-Ukraine tension pushed oil price above $100.
- It broke a major bearish trend line at $90.00 on the monthly chart.
- EUR/USD is struggling to stay above the 1.1120 support.
- The US ADP Employment could increase 388K in Feb 2022.
Crude Oil Price Technical Analysis
In the past few months, crude oil price saw a major increase above $75.00 against the US Dollar. The price surpassed the $80.00 level to move into a positive zone.
Looking at the monthly chart of XTI/USD, the price settled above the $90.00 level and the 100-month simple moving average (red). There was also a break above a major bearish trend line with resistance at $90.00.
The price gained pace above the 76.4% Fib retracement level of the downward move from the $114.80 swing high (formed in May 2011) to $3.62 swing low.
It even cleared the $100 barrier. It seems like the bulls are now aiming the 2011 high swing high near $114.80. Any more gains might call for a test of the $120.00 level in the near term.
On the downside, $98.00 level is a short-term support. The main trend support seems to be forming near the $75.00 level on the monthly chart, where the bulls might continue to take a stand.
Looking at EUR/USD, the pair extended decline in the past few days and the bulls are now struggling to protect the 1.1120 support.
Economic Releases to Watch Today
- Germany’s Unemployment Change for Feb 2022 - Forecast -23K, versus -48K previous.
- Germany’s Unemployment Rate for Feb 2022 – Forecast 5.1%, versus 5.1% previous.
- US ADP Employment Change for Feb 2022 - Forecast 388K, versus -301K previous.
- BoC Interest Rate Decision – Forecast 0.5%, versus 0.25% previous.