WTI Price Analysis: Eyes $40 mark amid bullish crossover, ahead of EIA


  • WTI breaks higher amid favorable technical set up on hourly chart.
  • US oil heads towards $40 mark despite overbought RSI.
  • 21-HMA cuts the 200-HMA from below, points to more gains.

WTI (futures on Nymex) extends its steady rise into the European trading this Wednesday, as the bulls gear up for a test of the $40 mark.

However, a temporary pullback towards the 21-hourly Simple Moving Average (HMA) at $38.80 cannot be ruled out in the coming hours, as the hourly Relative Strength Index (RSI) trends in the overbought territory at 74.05.

A break below the latter could see a test of the bearish 200-HMA at $38.39.

Overall, the path of least resistance appears to the upside after the price charted a symmetrical triangle breakout on the hourly chart in the US last session.

With the further upside bolstered by the bullish crossover of the 50-HMA above the horizontal 100-HMA in early Asia. The latest leg higher witnessed follow-through buying interest, allowing for more gains, as the 21-HMA pierced through the downward-sloping 200-HMA from below.

The pattern target is marked at $40.53. Ahead of that level, the psychological 40 barrier will challenge the bulls’ commitment. All eyes now remain on the EIA crude stocks change data for near-term trading opportunities.

WTI: Hourly chart

fxsoriignal

WTI: Additional levels

WTI

Overview
Today last price 39.40
Today Daily Change 0.77
Today Daily Change % 1.99
Today daily open 38.63
 
Trends
Daily SMA20 40.92
Daily SMA50 41.24
Daily SMA100 37.6
Daily SMA200 41.2
 
Levels
Previous Daily High 38.8
Previous Daily Low 37.33
Previous Weekly High 39.78
Previous Weekly Low 36.43
Previous Monthly High 43.86
Previous Monthly Low 39.75
Daily Fibonacci 38.2% 38.24
Daily Fibonacci 61.8% 37.89
Daily Pivot Point S1 37.71
Daily Pivot Point S2 36.78
Daily Pivot Point S3 36.24
Daily Pivot Point R1 39.18
Daily Pivot Point R2 39.72
Daily Pivot Point R3 40.65

 

 

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