WTI Price Analysis: Oil sellers face rejection below $39.30 for third straight day

WTI fades the drop to sub-$39.30 levels for the third consecutive day.
The repeated bear failure may entice buyers and yield a bounce.
However, Sept. 18 high remains a level to beat for the bulls.

Omkar Godbole FXStreet Contributor

West Texas Intermediate (WTI), the North American oil benchmark, is trading largely unchanged on the day near $39.50 at press time, having hit a low of $39.12 an hour ago.

The black gold has found dip demand below $39.30 for the third straight day. While prices fell by 4% on Sept. 21, the sellers could not establish a foothold below $39.00.

The repeated bear failure near $39.00 could invite buying pressure, although the technical outlook would turn bullish only after prices rise above the lower high of $41.72 created on Sept. 18.

Alternatively, a close below $39.00 would shift the focus back to the bearish Doji reversal pattern confirmed by Monday's 4.3% decline and open the doors for a re-test of the Sept. 8 low of $36.13.

Daily chart

Trend: Neutral

Technical levels

WTI

Overview
Today last price	39.50
Today Daily Change	-0.05
Today Daily Change %	-0.13
Today daily open	39.65

Trends
Daily SMA20	40.15
Daily SMA50	41.22
Daily SMA100	38.69
Daily SMA200	40.64

Levels
Previous Daily High	40.81
Previous Daily Low	39.32
Previous Weekly High	41.75
Previous Weekly Low	37.08
Previous Monthly High	43.86
Previous Monthly Low	39.75
Daily Fibonacci 38.2%	39.89
Daily Fibonacci 61.8%	40.24
Daily Pivot Point S1	39.04
Daily Pivot Point S2	38.44
Daily Pivot Point S3	37.55
Daily Pivot Point R1	40.53
Daily Pivot Point R2	41.42
Daily Pivot Point R3	42.02

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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