Crude Oil Futures Gain This Week, Slip Intraday

Crude oil posted a strong weekly gain after ending last week around $83.50. The uptrend accelerated once the price surpassed two significant technical markers close to $86.60 — the 100-day moving average and the 38.2% Fibonacci retracement of the drop from the April 2026 peak to the July 2026 trough.

The significance of a price zone increases when multiple technical methods point to a similar level. Breaking above the $86.60 cluster tilted the technical outlook more decisively towards the bulls and authorised them to aim for the next resistance zone.

This resistance was formed by a zone that included several technical references:

• The 50% midpoint of the decline from April to July, located at $92.87.
• Several swing highs dating back to mid-June, situated near $93.50.

Traders should closely monitor technical levels that are confirmed by several indicators.

The price touched a peak of $93.14, which fell between those two reference points, then turned slightly downward. The zone spanning $92.87 to $93.50 continues to serve as a critical barrier that bulls must overcome to sustain the uptrend.

That price movement contains a key takeaway for market participants. When multiple technical elements, like a Fibonacci retracement and prior swing highs, converge in one zone, traders frequently use that area to position their trades and set stops just above it. The rationale is straightforward: the zone offers a well-defined point for establishing both directional bias and risk management.

Should the resistance persist, a reversal in the other direction becomes more probable. This does not imply that the overall uptrend has ended, but it may indicate that a pullback is approaching as some bulls lock in gains and short-term bears step in.

The pullback brought crude oil down to, and momentarily under, its advancing 100-hour moving average, which now stands around $89.62. This moving average serves as a key short-term gauge. Staying above it maintains the bulls' advantage, whereas a prolonged break below it would embolden the bears.

Another technical signal emerged from the shorter timeframe: the decline below the 100-hour moving average paused before hitting the 38.2% retracement of the rally from the August 26 low. That retracement level is at $88.00, a psychologically significant round number. The day's low was $88.72, well above that support, before the price reversed to the upside.

Staying above the 38.2% retracement indicates that the drop was a correction rather than the beginning of a substantial bearish turnaround, at least for the time being. Bulls are trying to regain upward momentum, but more effort is needed.