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WTI Price Analysis: Sellers need $76.40 breakdown to keep reins

  • WTI extends pullback from multi-month top, refreshes intraday low.
  • Three-month-old horizontal area restricts immediate downside.
  • 5-DMA, receding bullish bias of MACD hint at further weakness.

WTI remains on the back foot, keeping the previous day’s losses, while poking intraday low of $76.37, down 0.26% on a day during early Thursday.

The black gold jumped to the fresh high since November 2014 before taking a U-turn from $79.53 and mark the heaviest daily loss in seven weeks the previous day.

The latest weakness takes clues from the quote’s downside break of 5-DMA as well as the softer MACD line from the overbought limit.

However, tops marked since July, around $76.50-40 challenge the bears before directing them to a 12-day-old support line near $75.50.

Following that, a convergence of 20-DMA and an ascending trend line from August 23, around $73.55, will be a tough nut to crack for WTI sellers.

Meanwhile, recovery moves need to cross the 5-DMA hurdle, close to $77.00 before eying the latest peak surrounding $79.55 and the $80.00 psychological magnet.

Overall, WTI crude oil is long due for a pullback but has strong supports before allowing the bears to take the fort.

WTI: Daily chart

Trend: Pullback expected

Additional important levels

Overview
Today last price76.49
Today Daily Change-0.23
Today Daily Change %-0.30%
Today daily open76.72
 
Trends
Daily SMA2073.12
Daily SMA5070.11
Daily SMA10070.36
Daily SMA20064.88
 
Levels
Previous Daily High79.53
Previous Daily Low76.6
Previous Weekly High76.51
Previous Weekly Low73
Previous Monthly High76.51
Previous Monthly Low67.02
Daily Fibonacci 38.2%77.72
Daily Fibonacci 61.8%78.41
Daily Pivot Point S175.7
Daily Pivot Point S274.69
Daily Pivot Point S372.77
Daily Pivot Point R178.63
Daily Pivot Point R280.55
Daily Pivot Point R381.56

Author

Anil Panchal

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.

More from Anil Panchal
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