WTI Price Analysis: Sees a big technical breakout ahead of OPEC+ meeting
- WTI hits the highest level since October 2018, $75 within reach.
- The US oil sees a symmetrical triangle breakout on the 4H chart.
- WTI’s additional upside depends on the OPEC+ outcome.
After a brief corrective pullback on Wednesday, WTI (futures on NYMEX) bulls are back in the game and drive the price back to the highest levels since October 2018 above $74.50.
The black gold accelerates its upside in anticipation of the outcome of the all-important OPEC and its allies (OPEC+) meeting, in which the alliance would decide on whether to maintain or reduce supply cuts in the second half of the year.
From a near-term technical perspective, WTI has dived out of a symmetrical triangle formation on the four-hour chart, awaiting confirmation for an upside breakout on a four-hourly candlestick closing above pattern resistance at $73.65.
At the press time, WTI rises 1.30% on the day to trade at $74.41, looking to conquer the $75 threshold. The Relative Strength Index (RSI) points north above the midline while below the overbought territory, suggesting that the bullish momentum could likely remain intact.
WTI four-hour chart
Any retracement could meet initial demand at the pattern resistance now support at $73.65, below which the confluence of the 21 and 50-Simple Moving Averages (SMA) at $73.10 will get challenged.
If the selling pressure intensifies, bears could then target the triangle support at $72.86.
WTI additional levels
Author
Dhwani Mehta
FXStreet
Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.
