WTI Price Analysis: Consolidation with a mild positive bias indicates an upside to near $110.00
- The black gold is consolidating in a wider range of $92.77-110.33 with a mild positive bias.
- Oil prices are firmer above the 20-EMA at $103.14.
- The RSI (14) has rebounded sharply from the bearish range of 20.00-40.00.
West Texas Intermediate (WTI), futures on NYMEX, is displaying back and forth moves in a narrow range of $109.98-104.36 in the Asian session. On a broader note, the oil prices are driving higher sharply after testing below the psychological support of $100.00 that triggered the responsive buying action.
The black gold is oscillating in a wider range of $92.77-110.33 with a mild positive bias on a four-hour scale. The oil prices have witnessed a firmer rebound after hitting the low of $97.21 on Tuesday, which has directed the asset towards the upper slight bullish horizontal trendline placed from March 30 high at $107.71.
The black gold has overstepped the 20-period Exponential Moving Average (EMA) at $103.14, which has strengthened the bulls.
Meanwhile, the Relative Strength Index (RSI) (14) has rebounded sharply from the bearish range of 20.00-40.00 but is likely to find a barricade around 60.00.
Should the asset oversteps Wednesday’s high at $103.05, bulls may drive the asset towards the April 29 high at $107.07, followed by the psychological resistance at $110.00.
On the flip side, bulls could lose momentum if the asset drops below the psychological mark of $100.00, which will send the oil prices to near Tuesday’s low at $97.21. A breach of the latter will drag the fossil fuel prices towards April 25 low at $95.07.
WTI four-hour chart
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Author
Sagar Dua
FXStreet
Sagar Dua is associated with the financial markets from his college days. Along with pursuing post-graduation in Commerce in 2014, he started his markets training with chart analysis.
