WTI Crude oil technical analysis: The $73.90 level is key support. Oil traded at a low of $75.50 in the early hours of trade on Tuesday.
WTI Crude oil key points
After turning away from the crucial moving average’s two-week-old resistance line, WTI crude oil is still under pressure. Bearish MACD indications and stable RSI levels point to additional price drops in commodities.
Crucial short-term supports look to be the 50 percent Fibonacci retracement point and a four-month-old horizontal zone.
WTI Technical Analysis
After ending a 2 – day rising run the previous day, WTI crude oil remains low at $75.50 on Tuesday’s trade. By doing so, the oil extends both a descending resistance line from mid-April and the week- a U-turn to the 100-DMA.
The energy standard is anticipated to show another attempt at crossing the 50% Fibonacci retracement of the March-April elevation, near $73.90. Given the negative MACD indications and a stable RSI (14) line.
But the horizontal area around $72.65–50, which has numerous levels defined since early Jan Seems to be a difficult one for the WTI crude oil sellers to crack.
The 61.8% Fibonacci retracement mark is around $71.60, a breach of which might return $69.00 to the graph. Is also operating as short-term important support.
On the other hand, the mentioned resistance line protects the quick increase in the value of WTI crude oil at $76.20.
The $80.00 psychological trigger may serve as the last line of protection for the Oil bears. If the commodity price stays firmer over $79.00.
Overall, it is anticipated that the price of WTI crude oil will continue to fall. Although additional declines are unlikely until the price falls below $72.50.
Following this, the traders of oil may face resistance from the 100-DMA and the 23.6% Fibonacci retracement between the $77.00 and $79.00 area.
