Key Points:
- WTI crude oil drops to $61.26 per barrel, down 0.62% from the previous day.
- OPEC+ output increase and ongoing U.S.-China trade tensions weigh on prices.
- WTI crude hits a high of $62.14 but closes at $61.26 as trade war uncertainties and rising supply pressures persist.
WTI Crude Oil Price Movements Amid Geopolitical and Supply Concerns
WTI crude oil prices have been under pressure, dropping to $61.26 per barrel after reaching a high of $62.14 during the session. The latest dip comes as traders continue to monitor developments in the U.S.-China trade war, which has cast a shadow over global demand expectations.
The increase in OPEC+ output and concerns over a potential supply glut have also added to the market’s bearish outlook. Despite this drop, WTI crude showed resilience, recovering slightly from a low of $58.76.
Technical Outlook
Picture: CL-OIL retraces to 61.255, testing key support levels after a minor pullback, as seen on the VT Markets app.
Crude Oil (CL-OIL) decreased by 0.62%, closing at 61.255 after opening at 61.635. The pair saw a decline, reaching a low of 61.075 before closing near 61.255.
The moving averages (MA 5,10,30) indicate a bearish sentiment, with the shorter-term moving averages crossing below the longer-term ones. This signals a possible continuation of the downward movement. The MACD (12,26,9) further supports this trend, as the MACD line (blue) is below the signal line (yellow), and the histogram remains in negative territory.
Key levels to monitor include 62.135 as immediate resistance and 58.76 as support. A break above resistance could indicate a potential trend reversal, while a move below support might signal further declines.
The outlook for WTI crude oil remains uncertain as both geopolitical tensions and supply concerns continue to drive market volatility. With trade tensions showing no sign of resolution and OPEC+ output increases on the horizon, oil prices may struggle to recover. Traders will need to watch for any new developments in trade talks and OPEC+ announcements to gauge the future direction of prices.
