WTI outlook: Takes a breather after hitting fresh 2019 high
|US CRUDE OIL
WTI oil price consolidates under new 2019 high at $66.58 (posted on Tuesday) as bulls started to reduce pace on reports that oil markets remain adequately supplied, despite sanctions on Iran and OPEC+ output reduction.
Surprise build of US crude stocks (API report on Tuesday showed rise of 6.9 mln bls vs 3 mln bls draw previous week) added to negative signals, along with overbought daily studies.
Consolidation was so far narrow as daily RSI / stochastic are still holding in overbought territory, with markets focusing on today’s release of EIA crude inventories report (1.2 mln bls build f/c vs 1.3 mln bls draw previous week) for fresh signals.
Overall structure remains bullish and suggests limited dips as positioning for fresh attempts higher, with rising 10SMA ($64.55) expected to contain and prevent deeper correction.
Res: 66.58; 67.24; 67.67; 68.73
Sup: 65.77; 65.57; 64.77; 64.32
Interested in WTI technicals? Check out the key levels
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