Slobodan Drvenica
Windsor Brokers
WTI Oil
Oil price extends strong rise into second consecutive day, advancing 1.6% during European session on Wednesday, following 3.45% advance on Tuesday (the biggest daily gain since Aug 12).
Growing fears that further escalation of the war in the Middle East could disrupt crude supply from the region, lifted oil prices significantly during past two sessions.
The latest rally improved the structure on daily chart, as the price rose above 50% retracement of $77.57/$65.26 bear-leg and psychological $70 level, underpinned by strong positive momentum and 10/20DMA’s in bullish configuration.
Bulls pressure pivotal resistance at $72.38 (Sep 24 lower top), break of which to generate fresh bullish signal on completion of bullish failure swing pattern on daily chart and soften strong bearish structure on weekly chart (multiple MA Death crosses / strong negative momentum).
Broken daily Kijun-sen ($71.08) should ideally contain dips and maintain bullish bias.
Caution on breach of $70 level (reinforced by 10DMA), which reverted to solid support and marks a breakpoint.
Fundamentals, however, are likely to play a key role in coming days, with further conflict escalation to provide fresh boost to oil price and open way for stronger upside acceleration.
Res: 72.38; 72.87; 73.37; 74.27.
Sup: 71.41; 70.88; 70.00; 69.26.
Interested in Oil technicals? Check out the key levels
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.
Recommended Content
Editors’ Picks
AUD/USD remains resilient in risk-off mood
The AUD/USD registers minimal losses against the Greenback late during Wednesday’s North American session after hitting a daily high of 0.6915. Risk aversion boosted the prospects of safe-haven currencies, due to the likelihood of Israel retaliating after Iran’s missile attack on Tuesday.
USD/JPY skyrockets over 200-pips on Japan’s PM comments
The Greenback recovered against the Japanese Yen on Wednesday, rallying over 2% after Japanese Prime Minister Ishiba commented the economic environment is not ready for additional rate hikes. The USD/JPY jumped off daily lows of around 143.42 and soared sharply toward current exchange rates.
Gold declines amid rising US yields, as Israel vows retaliation
Gold retreated on Wednesday during the North American session and dropped 0.50% daily as traders eyed Israel's reaction to Iran’s attack on Tuesday. Geopolitics remains the driver for traders, which lifted Gold prices after posting back-to-back bearish sessions since last Friday.
Is Bitcoin a safe haven amid Middle East tensions? Here's what you need to know
Following Bitcoin's 6% decline since Iran's missile attack on Israel, several investors are questioning whether the cryptocurrency's alleged "safe haven" status still holds.
RBA widely expected to keep key interest rate unchanged amid persisting price pressures
The Reserve Bank of Australia is likely to continue bucking the trend adopted by major central banks of the dovish policy pivot, opting to maintain the policy for the seventh consecutive meeting on Tuesday.
Five best Forex brokers in 2024
VERIFIED Choosing the best Forex broker in 2024 requires careful consideration of certain essential factors. With the wide array of options available, it is crucial to find a broker that aligns with your trading style, experience level, and financial goals.