- The energy benchmark struggles around monthly lows.
- Multiple supports and oversold RSI can trigger a pullback
Despite declining beneath 61.8% Fibonacci retracement level, WTI is taking the support of an ascending trend-line stretched since December 2018 as it trades near $51.20 while heading into Europe open on Thursday.
Not only 61.8% Fibonacci retracement of December – April upside, at $51.62, a three-week-old descending resistance-line at $53.20 and current month high near $54.80 also act as near-term key resistances.
In a case where prices rise beyond $54.80, $57.30 and 200-day simple moving average (SMA) near $59.25 could flash on bulls’ radar.
Meanwhile, pair’s slip beneath $51.00 support-line needs to get validation from horizontal-line since mid-May at $50.50 and the $50.00 psychological magnet in order to decline further towards November 2018 bottom at $49.40 and a late-December top close to $47.00.
Other than the aforementioned supports, 14-day relative strength index (RSI) also moves in the oversold region and can challenge the bears.
WTI daily chart
Trend: Pullback expected
- R3 55.06
- R2 54.16
- R1 52.73
- PP 51.83
- S1 50.4
- S2 49.5
- S3 48.07
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.