WTI Price Analysis: Bear bias intact despite 1.3% rise
- Oil gains near 50 cents in Asia on upbeat risk sentiment.
- The bias remains bearish with prices trading below a descending trendline.
The US oil prices are gaining altitude on Monday alongside risk-on action in the global equities and forex markets.
The West Texas Intermediate (WTI) crude, a North American oil benchmark, is currently trading at $40.66 per barrel, representing a 1.32% rise on the day.
Despite the recovery from Friday's low of $40.66, the immediate bias remains bearish. The black gold is yet to penetrate the hourly chart descending trendline connecting Nov. 11 and Nov. 12 highs. As of writing, the trendline hurdle is located near $41.12.
Acceptance above that level would open the doors for a re-test of the recent high of $43.06.
As long as the trendline hurdle is intact, the risk will remain skewed in favor of a drop to the 50-day simple moving average (SMA) located at $39.46.
Daily and hourly charts
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Trend: Bearish
Technical levels
Author
Omkar Godbole
FXStreet Contributor
Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.
