Oil Found Support Around $73 Price Area – Will Recover Higher?


Oil has become volatile and corrective, but the bulls are still holding the momentum above $72.50 to $73 support level. Oil found support around $73 price area. Will the price recover higher in the coming days? What are the charts and technical indicators are saying? Read more to find further insights into today’s WTI Technical Analysis.

June 24, 2021, | AtoZ Markets – Oil price climbed today morning during the Asian session against the U.S. Dollar. After rejecting $74 to $74.50 key resistance area, the bears have regained momentum and pushed the price downside, but failed to break below $73 to $72.50 support level. Oil is currently trading around $73.45 price area and trying to push upside. As per the current price action context, the price may face strong resistance around $74 to $74.50 key area again in the coming days.

Oil Found Support as the Overall Bias Is Still Bullish

WTI is currently residing near $73.45 price area and trying to climb further. However, the price also found support at the Bollinger Bands middle band on the intraday chart.

Oil Found Support

Image: Oil 4 Hour Chart

According to the 4-hour chart, Oil found support and currently trading around $73.45 price area. As per the current scenario, if the price can have an impulsive bullish candle close above the last candle’s high, the price may recover higher towards $74 to $74.50 key area in the coming days. On the contrary, if the price can have an impulsive bearish candle close below $73 to $72.50 support level, the bears may regain momentum and push the price down towards $71 to $70.50 price area in the days ahead.

In addition, the dynamic level of 20 EMA is currently residing below the price. Along with the Bollinger Bands middle band. So, the dynamic level may act as a strong support to push the price upward. Besides, the Bollinger Bands middle band may work as a confluence of the dynamic level in the process. However, the bears may regain momentum if the price can break below the dynamic level with an impulsive bearish candle close.

WTI May Revert Back to the Mean

According to the daily chart, Oil found support as the bulls are still optimistic. As per the current price action, if the price can break above $74 to $74.50 resistance area with an impulsive daily bullish candle, the bulls may sustain the bullish pressure towards $76.50 to $77 price area in the coming days. On the other hand, if the price breaks below $73 to $72.50 support area with a daily bearish candle, the bears may regain momentum and push the price downside towards $71 to $70.50 price area in the process.

Oil Found Support

Image: Oil Daily Chart

Moreover, the dynamic level of 20 EMA is currently residing below the price, which may pull the price down as a mean reversion. Also, the MACD lines are currently residing above the 0.00 level and may have a bearish crossover. It indicates that the bears may regain momentum in the days ahead.

To conclude, as long as the price residing over $72.50 to $73 support area, the bias will remain bullish. An impulsive daily close is needed to identify the definite momentum in the coming days. 

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