Technical Analysis – WTI crude oil gains some ground within trading range

WTI crude oil futures' price is gaining some ground after the strong bounce off the lower boundary of the trading range of 72.45-82.60. The price is battling with the 20- and the 50-day simple moving averages (SMAs) and given that it is still below the long-term falling trend line, the outlook remains gloomy.

The stochastic oscillator is moving towards the overbought area, while the RSI is flattening near the neutral threshold of 50, so both are suggesting that the price may show some short-term? weakness.

If the market breaks down through the 50-day SMA, the 72.45 level could act as a temporary support level, just above the yearly low of 70.15. The December 2021 low of 65.87 might be reached in case of more declines.

On the other hand, if prices are able to break above the SMAs and the downtrend line, they may hit the upper boundary of the channel at 82.60. Moving higher, the 200-day SMA at 90.43 may halt the bullish actions, while traders could flirt with 92.30, shifting the outlook to positive.

In a nutshell, WTI futures are in a neutral mode in the medium-term timeframe and bearish in the long-term view. This outlook may change only if there is a jump beyond the 200-day SMA.  

Latest News

Alibaba plans ambitious restructuring, will US big tech follow suit? – Stock Market News


Technical Analysis – US 500 index recovers from banking breakdown



Technical Analysis – WTI oil futures limit monthly losses; broad trend bearish


Daily Market Comment – Dollar trades mixed, awaits PCE inflation data


Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.

All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.

Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.

We are using cookies to give you the best experience on our website. Read more or change your cookie settings.

Risk Warning: Your capital is at risk. Leveraged products may not be suitable for everyone. Please consider our Risk Disclosure.