- August 25, 2020
- Posted by: Analysis Team
- Category: Forex News
- WTI trims early-day gains following its U-turn from $42.67.
- 200-HMA, a falling trend line from August 19 question the bulls.
- Sellers have immediate support line as the first challenge of the many.
WTI drops to $42.60, up 0.24% on a day, during the pre-European session on Tuesday. The black gold recently reversed from 200-HMA while keeping its weakness under a one-week-old resistance line.
Hence, the quote’s declines to an upward sloping trend line before 24 hours, around $42.45, become imminent. Though, $42.30 and $42.00 could challenge the sellers then after.
Given the oil benchmark’s failure to bounce off $42.00, $41.50 and $40.00 will hold the gate for the further south-run towards the monthly low of $39.75.
Meanwhile, a clear break of the $42.68-70 resistance confluence will aim for $43.00 and $43.25 ahead of targeting the month’s peak close to $43.65.
Should the commodity manages to cross $43.65, it becomes capable enough to challenge the February month’s low around 44.00.
WTI HOURLY CHART