Crude Oil Prices Aim for Best Month Since January 2022 as Retail Traders Turn Bearish
<p> <br />
</p>
<div>
<article>
<h2>Crude Oil, WTI, Retail Trader Positioning, Technical Analysis – IGCS Commodities Update</h2>
<ul>
<li><span>Crude oil prices</span><span> have rallied over 12 percent this month so far</span></li>
<li><span>Maintaining gains would mean the best 20 days in 18 months</span></li>
<li><span>On the daily chart, WTI broke above the 200-day moving average</span></li>
<li><span>Meanwhile, retail traders are becoming increasingly bearish</span></li>
</ul>
<div>
<div>
<p>
Recommended by Daniel Dubrovsky
</p>
<p>
Get Your Free Oil Forecast
</p>
</div>
</div>
<p>WTI crude oil prices rose about 2.8 percent on Monday in what was the strongest 24-hour period since June 13th. So far this month, the commodity has soared an impressive 12%. If this push is sustained, we would be looking at the best 20-day period for WTI since January 2022, which was 18 months ago.</p>
<p>With that in mind, how is the technical landscape shaping up? The most prominent development overnight was that crude oil broke above the 200-day Moving Average (MA). WTI has not been above this line since August 2022. While a confirmatory upside close is absent, further upside from here could spell a meaningful turnaround for oil.</p>
<p>That said, for long-term upside progress, the 81.44 – 83.48 resistance zone is of utmost importance. If WTI fails to clear this zone in the event of further gains from here, it could maintain a range-bound bias, with the lower end around 63.60 – 65.72.</p>
<p>Guiding oil higher has been a near-term rising trendline from the end of June. In the event of a turn lower, this line could hold as key support. Otherwise, clearing under and dropping through the 74.68 – 76.28 inflection zone exposes the lower bound mentioned earlier.</p>
<div>
<div>
<p>
Recommended by Daniel Dubrovsky
</p>
<p>
How to Trade Oil
</p>
</div>
</div>
<h3>Crude Oil Daily Chart</h3>
<p><img decoding="async" loading="lazy" src="https://a.c-dn.net/b/2819xb/image1.png" alt="Crude Oil Daily Chart" data-image-original-width="1369" data-image-original-height="716" width="1369" height="716" class="dfx-lazyload" style="padding-bottom: calc(716 / 1369 * 100%);" /></p>
<p><span>Chart Created in Trading View</span></p>
<h3>Crude Oil Sentiment Outlook – Bullish</h3>
<p>The IG Client Sentiment (IGCS) gauge shows that about 50.07% of retail traders are net-long crude oil. IGCS typically tends to function as a contrarian indicator. With that in mind, if positioning continues to become more bearish, this could underscore an upside technical bias for oil.</p>
<p>There is some evidence supporting this notion. Downside exposure has increased by 23.19% and 46.19% compared to yesterday and last week, respectively. With that in mind, recent changes in exposure hint that the current price trend may soon reverse higher.</p>
<p><img decoding="async" loading="lazy" src="https://a.c-dn.net/b/1UXaRo/image2.png" alt="Crude Oil Sentiment Outlook – Bullish" data-image-original-width="1800" data-image-original-height="1200" width="1800" height="1200" class="dfx-lazyload" style="padding-bottom: calc(1200 / 1800 * 100%);" /></p>
<p><span>— Written by Daniel Dubrovsky, Senior Strategist for DailyFX.com</span></p>
</article>
</div>
<p> element inside the <body> element. This is probably not what you meant to do!<br />
Load your application’s JavaScript bundle inside the <head> element instead.<br />
<br /><br />
<br /><a href="https://www.dailyfx.com/analysis/crude-oil-prices-aim-for-best-month-since-january-2022-as-retail-traders-turn-bearish-20230724.html">Source link </a></p><p>The post <a href="https://forextraderhub.com/crude-oil-prices-aim-for-best-month-since-january-2022-as-retail-traders-turn-bearish.html">Crude Oil Prices Aim for Best Month Since January 2022 as Retail Traders Turn Bearish</a> first appeared on <a href="https://forextraderhub.com">Forex Trader Hub</a>.</p>
Leave a Comment