WTI Price Analysis: Hourly RSI shows corrective bounce has ended
|- WTI trades near $37.80 versus $38.45 during the overnight trade.
- The hourly chart shows an end of corrective bounce from $37.00.
West Texas Intermediate (WTI) crude is currently trading near $37.80, representing a 0.7% decline on the day.
The hourly chart relative strength index has dived out of an ascending trendline, indicating an end of the black gold's bounce from weekly lows near $37.00.
The daily chart studies remain biased in favor of the bears. For instance, the 5- and 10-day simple moving averages continue to trend south, while the 14-day RSI hovers in bearish territory below 50.
As such, a re-test of $37.00 looks likely. Supporting the bearish case is the fact that major trading firms are again booking offshore oil storage tanks, a sign of weakening of demand.
A close above the descending 10-day SMA, currently at $40.66, is needed to invalidate the bearish outlook.
Hourly chart
Trend: Bearish
Technical levels
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.