Yesterday at a glance: bearish sentiment ensured WTI crude oil finished yesterday's session lower. However, despite the downward bias, WTI crude oil etched out a distinct $76.22 to $79.9 session range.
Despite being in the red so far in the current trading session, Crude Oil peaked above its 5 day Simple Moving Average around $79.22 — typically an early indicator of a new bullish trend beginning to emerge. West Texas crude's lower Bollinger Band® is at $75, indicating that the asset has overextended to the downside and could, therefore, bounce back as buyers look for bargains. On the other hand, note that US crude oil fell below the $77.23 support zone and moved 95 cents beyond it; the next level of support with significant buyer interest is estimated at $76.29.
Overall, looking at the technical analysis landscape, although technical indicators are mixed and pointing in different directions, it seems WTI crude oil is set to appreciate despite today's setback.
WTI crude's value drop coincided with the fact that Heating Oil dips 3.58% yesterday and closed at $3.36. Brent Crude Oil retreats 2.08% yesterday and closed at $85.41. After ending yesterday's session at $7.31, Natural Gas lost 28.4 cents and is trading around $7.02.
US crude oil has shed 29.69% over the past six months.