West Texas Intermediate (WTI) bears return amid signs of easing supply tightness
On Tuesday, West Texas Intermediate (WTI) experienced a slight dip as the upward momentum slowed amid indications of easing supply concerns.
Market attention now shifts to the upcoming official data release from the U.S. Energy Information Administration (EIA).
Notably, the EIA revised its forecasts for this year's global oil and liquid fuels output higher while lowering demand expectations, suggesting a well-supplied market compared to previous projections of under-supply.
With limited economic data on the horizon, traders closely monitor statements from Federal Reserve officials for market direction cues.
Technical indicators advise caution: the Relative Strength Index (RSI) indicates negativity but has moved away from oversold territory, the Moving Average Convergence Divergence (MACD) signals negativity, and the Average Directional Index (ADX) supports a bearish trend.
The recent breach of the key support level at $78.55-85 strengthens the bearish sentiment toward $75.50-60.
However, interim resistance at $80.25-45 poses a challenge, warranting further evaluation of market dynamics.
Daily Chart West Texas Intermediate (WTI)
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