Oil price prediction by AI

Oil Price Prediction Score: -3 (Moderately Bearish)

Key Observations

From the 240-Minute Chart (Crude Oil Futures):

1. Oil Price Below Key Levels:

   • The current oil price at $70.43 is trading below:
     • Today’s Value Area Low (VAL) at $70.60.
     • Friday’s VAL at $70.57.
     • Thursday’s POC at $70.40.
   • Oil prices below these key levels suggest sellers remain in control, reflecting bearish sentiment.

2. VWAP and Resistance for Oil Prices:

   • Today’s VWAP for crude oil at $70.77 and the POC at $70.92 are immediate resistance levels.
   • Any retracement of oil prices to these levels may face renewed selling pressure.

3. Delta Analysis of Oil Futures:

   • The most recent 240-minute bars have negative delta changes alongside bearish price action:
     • High sell volume at lower price ranges indicates persistent selling pressure in crude oil futures.
     • Delta SL remains negative, confirming continued seller dominance in the oil market.

4. Naked Levels Below Oil Prices:

   • $69.84 (Thursday’s VAL) is a key downside target where short positions in crude oil may take profit.
   • Further below are $69.65 (Wednesday’s VWAP) and $69.50 (Wednesday’s POC).
   • These levels could act as magnets for the oil price if selling pressure continues.

From the 30-Minute Chart of Crude Oil:

1. Price Action and VWAP Slope in Oil Futures:

   • The oil price remains below today’s VWAP at $70.77, and the slope is clearly downward, reinforcing the bearish trend for crude oil futures.

2. Delta and Volume Confirmation in Oil Trading:

   • Multiple bars show negative Delta Change and high sell volume, signaling active selling in the oil market.
   • Despite occasional green bars in crude oil prices, they lack follow-through and are accompanied by weak or negative delta, indicating no strong buyer presence.

3. Immediate Resistance and Support for Oil Prices:

   • Resistance Levels: $70.60 (VAL), $70.77 (VWAP), and $70.92 (POC).
   • Support Levels: $70.32 (current local low), followed by $69.84 (Thursday’s VAL), where oil price may encounter temporary buying pressure.

Summary for Oil Traders and Investors:

• Bias for Oil Prices: Moderately bearish (-3).
• Near-Term Outlook for Oil: The price of crude oil futures may test $69.84, with key resistance at $70.77 (VWAP) and $70.92 (POC).
• Oil Trading Note: Traders might wait for a retracement of oil prices to $70.75 (just below VWAP) for better short entries, as sellers are likely to defend that area in crude oil trading.