Oil Price Analysis: WTI stalling once again ahead of $40

WTI is trading 0.37% lower on Wednesday despite a draw in DoE's this afternoon.
Crude oil inventories dropped 7.195mln vs expectations of - 0.710mln.

Rajan Dhall, MSTA FX Daily

Spot WTI 1-hour chart

WTI has moved lower today despite some bullish fundamental news. This week both API and DoE inventory levels showed a decline. The latter was released this afternnon (Wednesday) and produced a much larger draw than was expected. Also according to a WSJ article, Saudi Arabia are also set to start another price war with Angola and Nigeria.

Despite all of this news, the price declined on the day and USD 40.00 per barrel seems to be a major barrier. If the price is to move lower from here it might find some support at USD 39 per barrel as the level has been used on multiple occasions in the past.

There is a wedge chart formation marked by the diagonal lines in blue. This is not the strongest formation as the bottom of the pattern has only be tested two times. If the price does break below the pattern it could be a good indication that we are in fact headed for lower levels.

The Relative Strength Index is languishing in the mid-zone. The MACD indicator is mixed as the histogram is in the red but the signal lines are above the mid-point. Overall the trend is still higher but if there is to be a break of the USD 39 level the retracement could become deeper.

Additional levels

WTI

Overview
Today last price	39.95
Today Daily Change	0.11
Today Daily Change %	0.28
Today daily open	39.84

Trends
Daily SMA20	38.52
Daily SMA50	31.4
Daily SMA100	33.7
Daily SMA200	45.25

Levels
Previous Daily High	40.1
Previous Daily Low	38.9
Previous Weekly High	41.65
Previous Weekly Low	37.18
Previous Monthly High	41.65
Previous Monthly Low	34.45
Daily Fibonacci 38.2%	39.64
Daily Fibonacci 61.8%	39.36
Daily Pivot Point S1	39.13
Daily Pivot Point S2	38.42
Daily Pivot Point S3	37.93
Daily Pivot Point R1	40.32
Daily Pivot Point R2	40.81
Daily Pivot Point R3	41.52

Author

Rajan Dhall, MSTA

FX Daily

Rajan Dhall is an experienced market analyst, who has been trading professionally since 2007 managing various funds producing exceptional returns.

EUR/USD struggles below 1.1800 ahead of US data, Fedspeak

EUR/USD remains trapped in a tight range below 1.1800 in the European session on Tuesday. The pair struggles amid a modest US Dollar strength and an improvement in risk sentiment, even as US tariff uncertainty lingers. The focus now remains on the US data and Fedspeak.

GBP/USD stays defensive below 1.3500 as USD firms up

GBP/USD stays on the back foot below 1.3500 in the European trading hours on Tuesday. The pair declines as the US Dollar rebounds from losses recorded over the previous two sessions. Traders will focus on the US weekly ADP Employment Change and Consumer Confidence data due later in the day, along with speeches from Federal Reserve officials.

Gold holds pullback below $5,200 amid USD uptick

Gold holds moderate losses below $5,200 in European trading on Tuesday, though it lacks follow-through selling. Following the previous day's knee-jerk fall in reaction to US President Donald Trump's new global tariffs and the subsequent bounce, the US Dollar attracts fresh buyers ahead of mid-tier data and Fedspeak.

Dogecoin, Shiba Inu, and Pepe extend losses on bearish signals

Meme coins are facing renewed selling pressure amid fading broad risk-on sentiment so far this week, with Dogecoin, Shiba Inu, and Pepe extending their losses after recent corrections.

Supreme Court nixes tariffs, Trump teases 15% global tariff

On February 20th, the Supreme Court ruled that Trump’s global tariffs under IEEPA authority were unconstitutional, effectively nullifying the framework. However, the relief was short-lived. Within hours, Trump floated a 15% blanket tariff under an alternative legal authority.

Dogecoin, Shiba Inu, and Pepe extend losses on bearish signals

Meme coins are facing renewed selling pressure amid fading broad risk-on sentiment so far this week, with Dogecoin, Shiba Inu, and Pepe extending their losses after recent corrections.