USOil (WTI) Sustains Downward Drive After Rejection Within Critical Supply Range

Market Analysis – October 24

USOil sustains its downward drive after rejection within a critical supply range. The commodity continues to display a pronounced bearish inclination as valuation remains capped beneath the 9-day moving average near $58.790. The MACD profile shows a weak upward cross that remains below the neutral axis, indicating limited recovery potential and a persistent downward bias. Market dynamics reveal that distribution forces still outweigh accumulation efforts, with short-term rallies proving largely corrective. The broader positioning aligns with a declining consumption outlook, reinforcing the extended bearish sentiment across the energy complex.

USOil Key Levels

Resistance Levels: $61.50, $66.40, $72.20
Support Levels: $55.20, $52.00, $50.10

USOil Long-Term Trend: Bearish

From a structural perspective, the recent move into the $61.450–$64.000 corridor met firm resistance within the identified order block and fair value gap, halting the upward attempt. This zone also aligns with the 50–78.6% Fibonacci retracement cluster, forming a strong confluence of supply influence. The subsequent decline confirms renewed sell-side dominance, redirecting price action toward prior structural pivot zones. The earlier shift in market structure around $64.000 continues to act as a technical anchor that defines the prevailing downward trajectory.

Looking forward, USOil appears positioned to extend its retracement phase as long as price remains below $61.500. A clear drop beneath the interim threshold at $58.800 could invite further liquidation pressure toward $55.150, with extended targets near $52.000 if momentum intensifies. Any return to the $64.000 area may once again attract strong selling interest, reinforcing the bearish bias. The current chart setup, supported by fading momentum, suggests that downside continuation remains the more likely scenario. Traders monitoring forex signals may find this consistent bearish setup aligning with broader risk sentiment across the commodities market.

USOil Short-Term Trend: Bearish

USOil maintains a bearish outlook on the four-hour chart as price faces rejection from the $62.000 order block zone. The 9-period simple moving average near $61.080 serves as dynamic resistance, restricting additional upward attempts.

Momentum continues to weaken, with the MACD histogram showing early signs of fading bullish pressure. A confirmed breakdown below $61.000 could trigger further decline toward $55.150 in the upcoming sessions.

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