- WTI is trading 1.41% higher on Wednesday.
- Both DoE and API inventory levels produced drawdowns.
WTI 4-hour chart
WTI has had a positive session on Wednesday after a large drawdown in DoE inventory levels. Today was also the OPEC JMMC meeting where the members discuss keeping a 2 million barrel per day cut for the next 2 months which is lower than the original deal. One way or another the OPEC+ group will need to exit (taper) from the production cuts and they will want to try to avoid another price crash. So far the cartel has avoided the “taper tantrum” and the price has moved higher in the session.
The chart is still very much a bullish one. The price continues to make higher low higher high waves but crucially cannot take out the red horizontal line. The Relative Strength Index indicator has made a bullish signal too. The trendline on the indicator has broken to the upside indicating that momentum is once again with the bulls. The MACD is also bullish as both the signal lines and histogram are above the zero level.
The next major resistance zone on the higher timeframes is holding at USD 42.20 per barrel. This is the swing low from 21st December 2018. The maker also found support at USD 41.83 per barrel back in January 2017 so this could also be a sticky point.
-637304364008814056.png)
Additional levels
Share
