Oil prices have declined in recent sessions after US oil inventory data showed a larger-than-expected increase, heightening concerns about oversupply.
Geopolitical tensions and the failure of recent OPEC+ decisions to achieve the desired market balance have increased pressure on prices, despite limited support from improved Chinese demand.
Technical Indicator Analysis
Moving Averages
The price is below the 50, 100, and 200 moving averages.
The averages are clearly bearish.
MACD
Negative momentum is accelerating.
Negative bars are increasing, indicating bearish strength.
Stochastic:
Moving near the oversold zone (around 20).
A temporary technical rebound may occur before the decline continues.
Bearish Scenario (Strongly Likely):
Continued decline towards 61.61.
A break of 61.61 could push the price to test 60.95.
Bullish Scenario (Temporary Corrective):
A rebound from 62.15 could retest 62.65.
A break of 62.65 is necessary to temporarily halt the negative momentum.
Trading strategies based on Buy/Sell levels
| In case of buying | in case of selling | OILUSD |
| 62.66 | 61.61 | Entry point |
| First resistance: 63.28 | First support 60.96 | Target Point 1 (TP1) |
| Second resistance 64.00 | Second support 59.23 | Target Point 2 (TP2) |
| 61.61 | 62.66 | Stop Loss (SL) |
Crude oil is moving within a clear downward trend after breaking key support levels, in the absence of strong upward catalysts.
Any rebound from support levels will be corrective and limited unless resistance at 62.65 is broken with a strong close.
Selling is recommended on any weak rebound as long as the price remains below 62.65, with targets at 61.61 and then 60.95.
