Oil futures recover above 100-hour and 200-hour moving averages, signaling a potential shift in short-term technical momentum.
Crude oil futures reversed course after plunging $43.89, or 39.6%, from an April 30 high of $110.93 to a low of $67.04 last week. The decline briefly breached the February 27 close of $67.28 but failed to sustain momentum below that level, allowing buyers to re-enter the market.
Prices climbed above the 100-hour moving average at $68.57 yesterday and extended gains today, surpassing the 200-hour moving average at $69.38. While moving averages lag price action after sharp selloffs, reclaiming these levels marks a critical shift in short-term bias toward buyers.
The next resistance targets include the June 30 high near $71.56 and the June 25 high at $72.50, with the 200-day moving average at $73.98 beyond that. A slip below current levels would signal a failed breakout, favoring sellers again.