- September 23, 2020
- Posted by: Analysis Team
- Category: Forex News
- WTI attempts recovery moves from intraday low of $39.33.
- 50-bar SMA offers immediate support, 200-bar SMA guards upside moves.
- Two-week-old ascending trend line, Friday’s top add filters to the momentum.
WTI picks up bids near $39.57 during the pre-European trading on Wednesday. Though, the black still drops 0.55% intraday by the press time.
While 50-bar SMA restricts the energy benchmark’s short-term declines, recovery moves are tamed by 23.6% Fibonacci retracement of September 08-18 upside and 200-bar SMA.
Considering the latest pullback moves, WTI oil prices are likely to trim additional losses by challenging the 23.6% Fibonacci retracement level of $40.51. However, $40.00 may offer an intermediate halt during the rise.
Further to question buyers are the 200-bar SMA level of $41.23 and Friday’s top near $41.75.
Alternatively, the September 09 high of $38.68 can please the bears on the break of $39.46 level comprising immediate SMA support.
Also questioning the WTI weakness will be an upward sloping trend line from the early-month lows, at $38.00 now.
WTI FOUR-HOUR CHART
Trend: Pullback expected