Asset Watch
Thursday, September 7, 2023
If so, the technicals hold important clues about crude’s future direction. For example, a weekly breakout recently occurred, with black gold eclipsing resistance from its October 2021, April 2023 and August 2023 highs.
Crude’s 10-week moving average also ended the pullbacks over the last two weeks. The level is noteworthy because the 10-week MA held as higher highs materialised during the early 2022 run.
After a breakdown occurred in April 2022, five of the six intraweek declines below the 10-week MA were bought and crude closed above the technical level. If the 10-week MA holds, the outlook should be viewed as bullish.
So, with next-level resistance at the October/November 2022 highs near $93.50, is it safe to run with the bulls, or will the bears gain the upper hand before the end of 2023?