Crude oil futures settled at $68.58
Crude oil futures are settling at $68.58, down $0.92 (-1.32%) on the day. The session low reached $68.03, while the high topped out at $70.19.
Today’s decline established a new cycle low, taking prices to their weakest level since February 27, the day before the Iran conflict began. For reference, crude settled at $67.28 on that day, highlighting how the geopolitical risk premium has largely evaporated.
From a technical perspective, the sellers remain firmly in control. To shift the short-term bias, buyers first need to reclaim the 100-hour moving average at $70.04, followed by the 200-hour moving average at $71.65. A sustained move above those levels would be the first sign that downside momentum is fading.
Even then, the buyers would still face another important hurdle. The 200-day moving average at $73.91 remains a key longer-term resistance level. Until the price can break and hold above these technical barriers, rallies are likely to be viewed as selling opportunities, leaving the sellers firmly in control.
This article was written by Greg Michalowski at investinglive.com.