WTI (oil futures on NYMEX) resumes its corrective mode heading into the early European trading, having failed several attempts near $ 63.90 levels, as the bulls catch a breath before the next push higher. What has contributed to this move? Find out on the 21 March WTI Price Technical Forecast.
21 March, GKFX – The latest leg down in the black gold can be also attributed to surging Treasury yields on Fed rate hike expectations and hawkish dot plot, which dulls the attractiveness of oil as an alternative higher-yielding asset.
Profit-taking slide ahead of the US EIA report and FOMC?
However, the barrel of WTI continues to find some support from a weekly decline in the US crude stockpiles, as shown by the American Petroleum Institute (API) late-Tuesday. The API showed that the US crude supplies fell by 2.7 million barrels for the week ended March 16.
More so, oil prices also benefit from looming Middle East concerns amid tensions surrounding Iran and Saudi Arabia. Saudi’s Crown Prince is set to meet the US President Trump, which could fuel further aggression towards Iran.
Focus now remains on the official US government numbers on the weekly crude stockpiles and output for fresh momentum while the FOMC outcome could also have a major impact on the USD-sensitive oil.
21 March WTI Price Technical Forecast
At $ 63.62, the resistances are aligned at $ 63.85/98 (daily top/ 3-week top), $ 64.50 (psychological levels) and $ 65 (zero figure). On the flipside, the supports are located at $ 63.21 (daily pivot), $ 62.79 (5-DMA) and $ 62.03 (10-DMA).
This article 21 March WTI Price Technical Forecast was written by analysts at GKFX. The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.
If such information is acted upon by you then this should be solely at your discretion and GKFX will not be held accountable in any way.