- WTI maintained its rally from the previous day and moved higher near the daily top.
- managed to break above 100-SMA, bullish MACD divergence keeps buyers hopeful.
- Two-month-old resistance line, 200-SMA limits immediate gains.
- Support lines from 12 days ago were added to the descending filter.
WTI crude buyers defend $91.00 heading into Tuesday’s European session breakthrough. In doing so, Black Gold justified the previous day’s upward break above the 100-SMA along with a bullish signal from the MACD.
Additionally, the lower price highs, along with the higher RSI (14) highs, paint a hidden bullish divergence for the commodity.
Therefore, this quote is targeting a downward sloping resistance line from late July at around $92.30.
However, further upside for the energy benchmark depends on how far buyers can cross the 200 SMA mark near $93.65. $95.90 cannot be ruled out and then the $100.00 threshold is reached.
On the other hand, the pullback action remains elusive until the quotes remain unchanged above the descending resistance line of July 29, About $89.10. That said, the 100 SMA level near $90.45 limits the immediate downside for black gold.
It should be noted that a break in WTI crude oil below $89.10 could make it vulnerable to a 6-month low This, in turn, highlights a two-week support line at $84.70 at press time.
WTI: Four Hour Chart
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