WTI Price Analysis: Crude Oil pullback remains elusive beyond $81.60
- WTI remains pressured after reversing from five-month high the previous day.
- Convergence of previous resistance line from December 2022, 200-EMA restricts immediate declines.
- 61.8% Fibonacci retracement, 100-EMA act as additional downside filter.
- Bulls need daily closing beyond $84.80 to restore confidence.
WTI crude oil defends the previous day’s U-turn from the multi-day high during early Friday, pressured around $82.20 by the press time. In doing so, the black gold price justifies the overbought RSI conditions.
With this, the energy benchmark prods the 61.8% Fibonacci retracement level of its fall from the last November to March, near $82.00.
However, the bullish MACD signals, as well as a convergence of the resistance-turned-support line from December 2022 and the 200-day Exponential Moving Average (EMA), around $81.60, appears a tough nut to crack for the WTI crude oil sellers.
Even if the quote drops below $81.60, the 50% Fibonacci retracement level and the 100-EMA, respectively near $78.50 and $78.30, could challenge the Oil bears afterward.
Meanwhile, WTI recovery remains elusive until the quote offers a daily closing beyond December’s high of $83.30. Even so, multiple hurdles marked during the late 2022 around $84.70-80 can challenge the Oil buyers afterward.
In a case where the black gold remains firmer past $84.80, the odds of witnessing the $90.00 back to the chart can’t be ruled out.
Overall, WTI crude oil is expected to witness further pullback but the bearish trend is not in the sight.
WTI: Daily chart
Trend: Limited downside expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
