WTI Crude Oil continued its rise and reached the price of 80,520 this weekend. The commodity has seen an upward trajectory since June 4.
Buyers remained quite strong in WTI Crude Oil last week and a high of 81,750 was reached on Friday, before a bearish reversal took the commodity to the weekend at USD 80,520. However, the bullish trend in the price of WTI crude oil has been clear since the first week of June when a low around 72,400 was challenged.
WTI Crude Oil is now at the higher levels of its monthly chart. However, looking at the quarterly chart from the perspective of our technical Forex forecasts, the commodity is in the middle of its price range. The price of WTI Crude Oil traded near the price of 87,640 around April 5th. The bullish trajectory of WTI Crude Oil saw some selling over the weekend, which may make short-term bullish traders cautious. The highest price of the commodity in early April still seems quite distant as a target for traders.
WTI Crude Oil and Developing News Pulse
Although the price of WTI crude oil has been rising since the first week of June, the commodity has not seen a violent surge in buying. The bullish momentum in the commodity happened gradually and gracefully; this could indicate that buyers are simply purchasing WTI crude oil because their customers demand more supply. The lack of higher price velocity could suggest that even further upside values will be found.
Additionally, WTI Crude Oil’s downward movements have not been particularly rapid when dips have occurred. Although selling towards the weekend can be considered strong, the ability to close above the USD 80,000 mark can be significant. The last time WTI Crude Oil saw sustained trading above the 80,000 ratio was in the last week of April and first week of May. It is also unlikely that the higher prices were triggered by concerns about the Middle East; It appears on the surface that the purchases are being made because there has been greater demand in recent weeks. Follow the best Italian forex brokers for further analysis on today’s important events.
Speculative Maximums and Higher Resistance Levels
When the price of WTI Crude Oil rose above the 81,000 level on Thursday and Friday last week, the commodity failed to break above the 82,000 peak. The last time this level traded was on April 30th, and it occurred when the commodity sold off and stabilized around the 79,100 level on May 1st.
- The oil price today should be watched for behavioral sentiment due to the sell-off that occurred when the commodity closed on Friday.
- If the price of 80,000 holds on Monday, this could be a sign that further buying momentum may remain in WTI Crude Oil.
- The WTI price range will be interesting in the first two trading days of this week as the commodity price tests its higher short-term range.
WTI Crude Oil Weekly Forecast:
The speculative price range for WTI Crude Oil is 78,100 to 83,100.
WTI Crude Oil buying in recent weeks has taken on a clear bullish trend, but the move higher may be starting to encounter resistance and perhaps Friday’s price action is a sign of things to come. WTI Crude Oil’s failure to rise above the 82,000 level on Thursday and Friday shows that buyers may run out. However, if the 82,000 level is broken suddenly and without a sudden rally, it could mean that buyers remain in control and we could see higher levels that have not been tested since late April.
Speculators who believe that WTI Crude Oil has now been overbought due to global economic considerations regarding a weaker outlook should be cautious. The bullish trend of the last few weeks is a warning sign that institutional traders are looking at the medium to long term when it comes to supply and demand. If WTI Crude Oil were to test the 79,000-78,000 range early this week, technically short-term speculators may want to look for upside reversals and trade them with a reputable oil broker. The test of what has become a higher price range for the commodity should be treated with caution in the coming days.
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