US crude oil futures settled at $71.03

US crude oil futures are settling at $71.03. That is down $1.67 or -2.3%

Looking at the hourly chart, the price on MOnday, extended above the 200 hour MA, but could not sustain momentum. Most of yesterday and today, the 100 hour MA has been resistance. Bearish.

The price low has moved down toward the low from yesterday at $70.64. The low today reached $70.99.

Going forward, as long as the price is below the 200 hour MA at $73.15, the sellers are still more in control. It would take a move above the 100 hour MA (at $72.69 and then the 200 hour MA hurt the bearish bias.

On the downside, the nest target comes in at $70.64 (swing level). Break below it, and the door opens for more downside momentum.

This article was written by Greg Michalowski at www.forexlive.com.