- Sustained trading beneath 200-day SMA speaks for the commodity’s weakness.
- 38.2% Fibonacci retracement may entertain sellers past-100-day SMA.
Despite taking rest near 100-day SMA, WTI’s further weakness can’t be ruled out unless clearing 200-day SMA. The black gold trades near $58.50 while heading into the European markets’ open on Wednesday.
As a result, 38.2% Fibonacci retracement of present year rise, at $57.30 flashes on the sellers’ radar as immediate support on the break of $58.50 comprising 100-day simple moving average (SMA).
Should oversold levels of 14-day relative strength index (RSI) fail to disappoint bears around $57.30, $55.70 and 50% Fibonacci retracement near $54.40 might become their favorites.
Meanwhile, $59.55 and 200-day SMA level of $60.10 seem to limit nearby upside, a break of which can trigger fresh buying towards 23.6% Fibonacci retracement near $60.85 and then to $62.20.
However, a month-old descending trend-line near $63.00 could question bulls past-$62.20, if not then current month high near $63.80 might grab the spotlight.
WTI daily chart
Trend: Bearish
Share
