West Texas Intermediate (WTI) Oil Loses Its Bullish Footing Again
West Texas Intermediate (WTI) fell on Friday, recording its sixth consecutive decline and losing around 8%, marking the largest weekly drop since September 2.
This decline came after OPEC and the International Energy Agency reduced their forecasts for global oil demand in 2024 and 2025.
Additionally, China's economy grew at its slowest pace since early 2023 in the third quarter, although September consumption and industrial output surpassed expectations.
The latest Baker Hughes Co. rig count showed a national total of 585, down by one rig. Oil rigs increased by one to 482, while gas rigs decreased by two to 99.
The U.S. rig count is down by 39 from last year's 624, including 20 fewer oil rigs and 19 fewer gas rigs.
Based on technical indicators, the 3-day Relative Strength Index (RSI) is positive, while the Moving Average Convergence Divergence (MACD) is mixed.
The Average Directional Index (ADX) suggests a bear trend.
With prices wavering, the bullish foundations at $69.70-$70.00 is expected to hold.
Therefore, traders should reassess their positions, as the recent rejection could signal a broader upward move toward the $74.00 level.
Daily Chart West Texas Intermediate (WTI)
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