WTI bears take control at the start of the week, bucking the trend

The price of oil continues to consolidate the daily bullish trend and on Monday, the price has melted to the 4-hour dynamic support. At the time of writing, WTI is down 0.26% into the close on Wall Street. The price fell from a high of $69.97 to a low of $68.95.  

Chinese data showed crude oil imports fell to a year's low in May and likely played into the fragility of oil prices following a fun to two-year highs the prior work.

Crude has risen for two weeks, with Brent up by 38% this year and WTI rising 43% on the expectations of improved demand and the Organization of the Petroleum Exporting Countries and ally producers keeping supply curbs in place has otherwise been a lift for the market.

Meanwhile, on Monday, OPEC Secretary-General Mohammad Barkindo said OPEC+ expects inventories to fall further in the coming months.

All in all, increased global demand is anticipated following decisions by the United States and Europe to loosen COVID-19 restrictions.

Additionally, India has begun to ease its latest lockdown.

''A global vaccination rollout is set to drive mobility sharply higher this summer, in response to massive pent-up demand,'' analysts at TD Securities explained.

''Ultimately, the global market will be able to absorb the additional barrels, and strong summer demand could translate into higher prices before OPEC+ increases the flow of spare capacity returning to the market.

This suggests that a break north of $70/bbl may prove unsustainable, given the massive scale of spare capacity, but the set-up for a summer breakout continues to firm. CTAs remain well-positioned for further upside.''

WTI technical analysis

Technically, the 4-hour 10-EMA  keeps the price supported on Monday as it rides the dynamic trendline. 

However, according to the monthly chart, a correction might be on the cards before long. The prior weekly highs have a confluence with the 38.2% Fibonacci retracement level at 65.611 at this point.