- WTI struggles between 200-day EMA and 50% Fibonacci retracement while taking the bids to the six-week high.
- A 5.5-month old falling trend-line could challenge sellers after 200-day EMA.
Despite breaking multi-month-old descending trend-line and 200-day exponential moving average (EMA), WTI struggles to extend the north-run as it trades near $58.00 during early Tuesday.
50% Fibonacci retracement of April-August declines, at $58.55, can be considered as an immediate upside barrier for the energy benchmark, a break of which could escalate the rise towards $60.00, 61.8% Fibonacci retracement of $60.50 and then to July month top close to $61.00.
In a case prices slip below 200-day EMA level of $57.90, the resistance-turned-support at $57.15 and the 38.2% Fibonacci retracement level of $56.60 could come back on the chart.
Should there be additional weakness past-$56.60, $54.80 and 23.6% Fibonacci retracement level of $54.30 should trigger the black gold’s pullback, if not then a rising trend-line since early August near $53.30 will be the key to watch.
WTI daily chart