WTI Price Analysis: Bears poke $76.00 with eyes on further downside


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  • WTI remains pressured around the monthly low, extends Friday’s losses.
  • Six-week-old descending trend line can test the bears on the way to sub-$70.00 area.
  • Double-top confirmation adds strength to the bearish bias.
  • Buyers need to cross $81.30 to retake control.

WTI crude oil price stays depressed as it flirts with $76.00 during early Monday. In doing so, the black gold drops for the second consecutive day while highlighting mid-November’s confirmation of the double-top bearish chart pattern.

Even so, the nearly oversold Relative Strength Index (RSI), placed at 14, highlights a downward-sloping support line from October 18, close to $74.30, as immediate key support.

Following that, a south-run towards the theoretical target for the “Double Top” confirmation, near $69.80, can’t be ruled out. It’s worth noting that the $70.00 round figure may act as a buffer during the anticipated fall.

On the flip side, recovery moves may initially need to cross a two-week-old resistance line near $79.60 to convince the short-term buyers.

However, a horizontal line around $81.30, known as the confirmation level for the “double top” bearish chart pattern, appears crucial for WTI crude oil buyers as it holds the key to their conviction.

In a case where the crude oil buyers manage to keep the reins past $81.30, the odds of witnessing a run-up towards $93.00, comprising the monthly high and October’s peak, will be in focus.

WTI: Four-hour chart

Trend: Bearish

Additional important levels

Overview
Today last price 76.02
Today Daily Change -0.32
Today Daily Change % -0.42%
Today daily open 76.34
 
Trends
Daily SMA20 84.54
Daily SMA50 84.58
Daily SMA100 88.01
Daily SMA200 96.98
 
Levels
Previous Daily High 79.9
Previous Daily Low 76.27
Previous Weekly High 82.3
Previous Weekly Low 75.28
Previous Monthly High 92.63
Previous Monthly Low 79.32
Daily Fibonacci 38.2% 77.65
Daily Fibonacci 61.8% 78.51
Daily Pivot Point S1 75.11
Daily Pivot Point S2 73.87
Daily Pivot Point S3 71.48
Daily Pivot Point R1 78.74
Daily Pivot Point R2 81.13
Daily Pivot Point R3 82.37

 

 

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