Crude Oil: WTI Bulls Take a Breather Around the Barrier on the Level at $28.22

USDWTI Price Analysis – April 9

WTI is trying to consolidate the rise to a fresh $28.22 level two-day high, as the bulls take a breather back from the latest recovery near the $25.00 mark. At the time of the news, US oil is trading at $27.04, still up to now. News on Thursday that Russia is willing to slash 1.6 million barrels a day fuelled optimism, pushing WTI up to $28.22 level by 5 percent.

Key Levels
Resistance Levels: $36.28, $33.60, $30.21
Support Levels: $25.00, $23.16, $21.50

USDWTI Long term Trend: Bearish

WTI is trading higher at $27.04 level, it dropped down from the $28.22 session high to $25.00 level until it rebounded slightly. Oil is priced steadily beyond its low 30 March upward trendline.

Its initial resistance can be seen at $28.22 levels until $29.10 (high April 3rd) level and $30.21 psychological level. On the downside, support is seen at a level of $25.00 (trendline) before dropping to $23.16 (low 7 April).

USDWTI Short term Trend: Ranging

In a potential signal for a positive trend reversal, USDWTI tends to form an inverted head and shoulders shape in the four-hour timeframe. The price failed to surpass its recent peak of $28.22 level in the ongoing upswing and reversed south to create the right arm.

A significant recovery beyond the $29.11 level, where the neckline of the trend resides, may signal the beginning of an uptrend, for traders probably increasing access to the upper horizontal barriers at the $30.21 resistance region.

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