Oil Strikes Over $65 Price Area as the Demand Rises – Will Climb Further?


Oil bulls have regained momentum after bouncing from $61.50 to $62 support level. Oil strikes over $65 price area as the demand rises ahead of the peak summer driving season. Will the price climb further upside 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.

May 27, 2021, | AtoZ Markets – Oil price fall today morning during the Asian session against the U.S. Dollar. WTI is currently trading around $65.70 price area and trying to push lower. After bouncing from the $61.50 to $62 support level, the bulls pushed the price upward impulsively, but failed to break above $66.50 to $68 psychological event area. As per the current price action, the price may retrace lower towards the dynamic level on the daily chart in the coming days.

Oil Strikes Over as the Investors Are Optimistic

WTI is currently residing near $65.70 price area and trying to decline further. However, the dynamic level of 20 EMA is still holding the price as strong support on the intraday chart.

Oil Strikes Over

Image: Oil 4 Hour Chart

According to the 4-hour chart, Oil strikes over and currently trading around $65.70 price area. As per the current price action, if the price can break below the dynamic level of 20 EMA with a 4-hour bearish candle close, the bears may regain momentum and push the price down towards $64.50 to $64 price area in the coming days.

In addition, the dynamic level of 20 EMA is currently residing below the price. So, it may work as strong support in the process. However, the bears may regain momentum if the price can break below it. Moreover, the Stochastic Oscillator lines are currently residing below the overbought level 80 and gradually sloping downward. It indicates that the bears may regain momentum in the day ahead.

WTI May Revert Back to the Mean

According to the daily chart, Oil strikes over and currently trading around $65.70 price area. As per the current scenario, the price may retrace downside towards $64.50 to $64 price area in the coming days. So, if the price retraced towards $64.50 to $64 support level and bounced higher with a daily bullish candle, the bulls may push the price upward towards $66.50 to $68 price area in the process. On the other hand, if the price breaks below $64.50 to $64 support level with a daily bearish candle, the bears may push the price down towards $62 to $61.50 price area in the days ahead.

Oil Strikes Over

Image: Oil Daily Chart

Furthermore, the dynamic level of 20 EMA is currently residing below the price. Along with the Kijun line and the Tenkan line. So, the dynamic level may act as a strong support to push the price higher. Besides, the Kijun line and the Tenkan line may work as a confluence of the dynamic level in the process.

To conclude, after an impulsive bullish momentum, the price requires a downside retracement. As the overall bias is still bullish, there is a high chance that the price may climb further upward in the coming days. 

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