WTI Price Analysis: $40.85/80 guards immediate upside

  • WTI prints two-day losing streak while keeping downside break of monthly support line and 21-day SMA.
  • 50-day SMA appears next on the bears’ radars.
  • Bulls will have a bumpy road unless refreshing the monthly top.

WTI drops to $40.16, down 0.76% on a day, while heading into the European open on Friday. The energy benchmark dropped below the key $40.85/80 support confluence, now resistance, comprising 21-day SMA and an ascending trend line from June 25.

The fall gains support from downward sloping RSI, which in turn directs the quote towards a 50-day SMA level of $39.00. However, the $40.00 threshold may offer an intermediate halt during the declines.

In a case where the black gold keeps trading southward past-$39.00, June 25 low near $37.20 and the mid-June bottom surrounding $34.60 will be in the spotlight.

Meanwhile, an upside clearance of the support-turned-resistance around $40.85 will need confirmation from $41.00 to attack a downward sloping trend line from July 21, at $41.65 now.

If at all oil prices rally past-$41.65 on a daily closing basis, the multi-day high, flashed on July 21, around $42.50, will hold the gate for the run-up towards February month low near $44.00.

WTI daily chart

Trend: Bearish

Additional important levels

Today last price 40.17
Today Daily Change -0.30
Today Daily Change % -0.74%
Today daily open 40.47
Daily SMA20 40.89
Daily SMA50 38.89
Daily SMA100 32.1
Daily SMA200 43.72
Previous Daily High 41.5
Previous Daily Low 39.1
Previous Weekly High 42.52
Previous Weekly Low 39.99
Previous Monthly High 41.65
Previous Monthly Low 34.45
Daily Fibonacci 38.2% 40.02
Daily Fibonacci 61.8% 40.59
Daily Pivot Point S1 39.21
Daily Pivot Point S2 37.96
Daily Pivot Point S3 36.82
Daily Pivot Point R1 41.61
Daily Pivot Point R2 42.76
Daily Pivot Point R3 44.01



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.

Feed news

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD recovers towards 1.1750 as risk-on rules

EUR/USD is back around 1.1750 as upbeat US data fueled equities' early rally. Concerns about economic progress remain in the background, as the pandemic keeps taking its toll. 


GBP/USD bounces from 1.30 as demand for the dollar eases

Dollar's corrective advance seems complete, now down against most major rivals. GBP/USD trades little changed for a second consecutive day in the 1.3060/70 price zone. Market players continue to ignore upcoming Brexit chaos.


Gold: Interesting Fibonacci extension projects a move to $2500

Gold has risen 10.74% in the month of July, the biggest monthly increase since February 2016. As the price is breaking all-time highs it's hard to say where the yellow metal could end up.

Gold News

ETH/BTC skyrocketing, Bitcoin stays above $11,000

The cryptocurrency market is influenced by leveraged positions liquidation. Cryptocurrency experts expect further growth amid a global flight to safety assets. ETH/BTC hits the highest level since May 2019.

Read more

WTI drops below $40 on demand worries, OPEC+ output increase

Crude oil prices posted losses last week and seem to be struggling to shake off the bearish pressure on Monday. As of writing, the barrel of West Texas Intermediate (WTI) was trading at $39.85, losing 1.5% on a daily basis.

Oil News