Technical Analysis – WTI futures head up towards 13-month high
WTI oil futures with delivery in April keep climbing steadily, extending above the 60.00 psychological level. The price rebounded off the 20-day simple moving average (SMA) and is heading again towards the 13-month peak of 63.88.
The Ichimoku lines are flattening, while the climbing simple moving averages (SMAs) are defending the bullish structure. The RSI is further validating improvements in the price, however, the MACD is losing ground below its trigger line in the positive region.
If buying interest increases, the first tough obstacle is the resistance section of 63.88-65.61 which also includes the 13-month high of 63.88. Should the bulls manage to conquer this buffer zone, they may then target another strong barrier at 66.57, reached in April 2019.
Otherwise, if sellers take the price down, initial support could come at the 40-day SMA currently at 59.88. Should the pullback gain strength, the 53.94 inside swing high could try to impede the decline. More losses could see the 23.6% Fibonacci retracement level of the upward move from 6.62 to 63.88 at 50.37 ahead of 49.40.
Overall, WTI maintains a positive outlook in the long-term timeframe. That said, a dive below the 46.13-43.46 support zone, which includes the 200-day SMA, may shift this view to negative.
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
