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WTI Price Analysis: Oil under pressure after rejection at channel hurdle

  • WTI is trapped in an expanding channel on the 4-hour chart. 
  • Wednesday's rejection at the channel hurdle has put the bears in the driver's seat.

West Texas Intermediate (WTI), a North American oil benchmark, is currently trading 0.45% lower on the day near $53.00 per barrel.

The losses come a day after prices failed to take out the upper end or resistance of the 4-hour chart expanding channel identified by trendlines connecting Jan. 13 and Jan. 14 highs and lows. 

The rejection at the channel hurdle is backed by lower highs (bearish pattern) on the 4-hour chart Relative Strength Index. As such, a deeper drop could be seen while heading into the weekend. 

Support is located at $51.81 (Jan. 17 low), followed by $51.00 (multi-month ascending trendline support). 

4-hour chart

Trend: Bearish

Technical levels

WTI

Overview
Today last price53
Today Daily Change-0.12
Today Daily Change %-0.23
Today daily open53.12
 
Trends
Daily SMA2050.57
Daily SMA5047.37
Daily SMA10043.44
Daily SMA20039.65
 
Levels
Previous Daily High53.8
Previous Daily Low52.93
Previous Weekly High53.94
Previous Weekly Low51.51
Previous Monthly High49.43
Previous Monthly Low44.01
Daily Fibonacci 38.2%53.47
Daily Fibonacci 61.8%53.26
Daily Pivot Point S152.77
Daily Pivot Point S252.42
Daily Pivot Point S351.91
Daily Pivot Point R153.63
Daily Pivot Point R254.14
Daily Pivot Point R354.49

Author

Omkar Godbole

Omkar Godbole

FXStreet Contributor

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

More from Omkar Godbole
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