Down -$0.85 or -1.37% on the day.
The crude oil futures settle at $61.50, down -$0.85 or -1.37%.
For the 2nd day in a row, the price of the contract moved below its 200 day MA at $60.87 (green line), only to recover and close higher. The bullish bias is bending but not breaking.
Stay above the MA keeps the buyers still in full control. Move below, stay below, close below, and the sellers start to take some of the control back from the buyers with the 100 day MA at $56.15 a target.
I typically, don’t include the 50 bar MA on my crude oil chart, but Adam has pointed out that the 50 day MA and the 200 day MA are at the same level. Tomorrow, the 50 day will officially cross the 200 day MA, triggering the so called “Golden Cross”.
When that happens it is supposed to be a bullish signal (see chart below).
When the opposite occurs – that is, the 50 bar moves below the 200 bar MA – it is called the dreaded “Death Cross”
The S&P index has the 50 day MA move below the 200 day MA on December 7th when the index was at 2633. The price moved to a low at 2346 over the next few weeks before moving back higher…
On April 1, the 50 day MA moved back above the 200 day MA at 2834. The price did move up to a high of 2954 last week (now at 2872).