Crude oil 100 hour MA broke on Thursday, pushing crude oil futures lower and putting the 200-hour moving average at $79.47 in focus. Sellers gained momentum after price fell below the 100-hour moving average at $81.39. Moreover, the drop followed several failed attempts earlier this week to hold gains above a key retracement level.
The 50% retracement of the fall from the late-July high to the early-August low stands at $83.87. Price reached $84.54 on Tuesday and $84.35 on Wednesday, but buyers failed to extend the rise. As a result, that area held as resistance and kept upside attempts in check.
Crude Oil 100 Hour MA Break
After crude turned lower on Wednesday, a rebound stalled near the $83.87 retracement level. That failure gave sellers room to press the market lower again. Consequently, bearish momentum carried into Thursday’s trade.
The latest move below the crude oil 100 hour MA at $81.39 strengthened the downside bias. While price stays under that level, sellers remain in control. Therefore, the next downside target is the 200-hour moving average at $79.47.
Key Levels Shift to Lower Targets
The source article said no clear headline catalyst appeared to drive the decline. Instead, the move looked technical. Buyers had several chances to hold above the 50% retracement, yet they could not keep the break.
That pattern shifted the technical edge toward sellers. Additionally, a break below the 200-hour moving average would deepen the bearish bias. In that case, the 200-day moving average at $76.66 would become a more important longer-term target.
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Source: InvestingLive
