West Texas Intermediate (WTI) rebounded after data revealed an unexpected drop in U.S. crude stocks
Market bulls returned as declining prices approached key support levels, with West Texas Intermediate (WTI) oil prices climbing above $83 per barrel.
Industry data reported unexpectedly lower U.S. crude stocks, signalling positive demand trends and overshadowing Middle East tensions.
Traders await official U.S. data for confirmation of the inventory drawdown.
Additionally, according to S&P Global, U.S. business activity cooled in April, with the Composite PMI Output Index dropping to 50.9 from 52.1 in March.
Based on technical indicators, the Relative Strength Index (RSI) 3-day 'lookback' indicator has rebounded positively from oversold levels, while the MACD remains negative and the ADX indicates a ranging market.
Persistent high volatility suggests traders should review their positions due to whipsaw movements.
Key support is $79.80-90, with re-evaluation recommended at that level.
On the upside, interim resistance is $84.20-40, warranting further assessment.
Daily Chart West Texas Intermediate (WTI)
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