Crude oil is now trading in negative territory at $69.08, down from its high of $70.32.
Looking at the hourly chart, the price of gold has moved above its 200-hour moving average (currently at $68.93) this week on its way to its highest level today.
Today’s bullish move also broke the $70 level and retracement of 38.2% of the bearish move from the August 24 high of $69.94, but the momentum did not continue. In the past few hours of trading, the price action has been steady downward.
The price is falling again and retesting its broken 200-hour moving average at $68.93.
A move below the 200 hourly moving average would disappoint buyers and could see further momentum as the price retraces to the 100 hourly moving average at $68.02. Note that yesterday’s corrective move lower led to price stopping at the $100 hourly moving average, and this hold helped push the price higher. I would expect a retest today or next week, where it will find some stopping near this target level.