Crude Oil Hits Pivotal $75 Level – Bulls Aim for $80, Bears Eye $70 Break
2024.10.09 02:32
From November 2022 until the present, what do you see?
Bulls will see strong bottoms around $65.
Bears will see major tops between $90-$95.
Opportunists will see volatility and a reason to sit aside as at $73-$74 oil is in the middle of the range.
I see a neutralizing slope on the 50-DMA (blue).
I see a flat slope on the 200-DMA (green).
I see major support around $72 and good resistance at $80.
I also see a fundamental powder keg.
Between the newest Hurricane and the Middle East potential for disruption to Iranian oil fields, this is hardly the time for complacency.
In fact, thank you China for selling off, as this might have given traders a cheaper entry in oil with a good risk.
What will we do?
The simplest plan is to look at $75 as pivotal.
Bullish above, negative below.
Then, over $80, bulls can build the position.
Below $70 bears can rejoice.
Except for a few stocks, the Economic Modern Family remains in a sideways range.
And for now, so does .
ETF Summary
(Pivotal means short-term bullish above that level and bearish below)
- S&P 500 (SPY) 565 support 595 resistance
- Russell 2000 (IWM) Range 215-225
- Dow (DIA) Inside day so still a bit vulnerable up at these levels
- Nasdaq (QQQ) 485 pivotal support
- Regional banks (KRE) 52-55 support zone
- Semiconductors (SMH) 240 support 255 resistance
- Transportation (IYT) 67.00 pivotal
- Biotechnology (IBB) 140-142 support zone
- Retail (XRT) 75 pivotal
- iShares iBoxx Hi Yd Cor Bond ETF (HYG) 79.50 failed so watching for risk factors carefully
