18 Jun 2020
WTI Price Analysis: Oil price awaits range breakout
- WTI created a Doji candle on Wednesday, neutralizing the immediate bullish outlook.
- Oil currently trades within Wednesday's trading range.
- Acceptance under the Doji candle's low would confirm a bearish reversal.
West Texas Intermediate (WTI) crude is currently trading at $33.73 per barrel, representing a 0.6% decline on the day.
Despite the price drop, the immediate bias remains neutral. This is because, the black gold is stuck within the trading range of Wednesday's Doji candle, a sign of indecision in the market place.
The outlook would turn bearish if prices end Thursday's below $37.21 - the low of Wednesday's Doji. That would open the doors for a drop to the 100-day simple moving average (SMA) of $32.92.
On the flip side, a close above $38.75 (Wednesday's high) would mean a continuation of the rally from the June 15 low of $34.36. However, stronger evidence of bullish revival would be acceptance above $40.44 (June 8 high).
Daily chart
Trend: Neutral