During the Asia-Europe session on Friday, US crude oil fell slightly, currently trading around US $84.40 per barrel. This week, the oil market was mixed with bearish news. On the one hand, EIA crude oil stocks have declined, Asian powers may relax the entry quarantine period, coupled with the previous OPEC+ production reduction plan to support oil prices, but expectations of further aggressive interest rate increases by the Federal Reserve continue to rise, the dollar is strong, and US bond yields continue to rise. The yield on the 10-year Treasury note hit a new high since June 2008, the stock market fell, depressing oil prices, and US President Joe Biden announced a further release of strategic crude oil reserves in order to rein in gasoline prices before the mid-term elections. Relatively speaking, the short-term oil price tends to shock operation, in view of the overnight high decline, suggesting that the upper selling pressure is stronger, the short-term slightly inclined to shock downward.

This trading day will focus on the summit of European leaders, speeches by US President Joe Biden and Fed officials, and news related to the political and geopolitical situation in the UK. Following changes in US crude oil drilling data, the previous week, US crude oil drilling data surged by eight, the highest since March 2020, and the market is now expected to see a further increase in US crude oil drilling data, which could put pressure on oil prices.

4-hour level:Shock; Bollinger line horizontal operation after closing, pay attention to the breakthroughs in the area of Bollinger line track 82.91-87.12, the current KDJ dead fork operation, and the oil price fell back below the middle rail of the Bollinger line after being blocked by multiple resistance near the upper rail of the Bollinger line, the short-term bias is to further explore the support near the lower rail of the Bollinger line, and if the support is broken, the short-term bearish signal will be increased. The further support is near 82.06, then near the 80 integer gate, and the strong support is near the low of 79.12 on September 30.

If the oil price can stick to the support near 82.92 under the Bollinger line, then the bulls still have a chance in the future. At present, the resistance of the middle rail of the Bollinger line is near 85.02, and the resistance on the rail of the Bollinger line is near 87.12, which is relatively strong. If the oil price strongly exceeds the resistance, then increase the bullish signal in the future.

Resistance:85.02；87.12；89.70；91.61；

Support:82.92；82.01；80.00；79.12；

Short-term operation recommendations:Conservatives wait and see; activists go short cautiously when they go high.