WTI Oil Nears $63 With 3.3M Barrel Draw—Watch This Key Support at $62.44

WTI crude oil futures fell back to trade near $63 today, giving up some of yesterday’s gains. Traders weighed OPEC+’s slow output increase against fresh data showing a big draw in US inventories. According to the American Petroleum Institute, US crude stockpiles fell 3.3 million barrels last week—way more than the 900,000 barrel drop expected.

Canadian wildfires, which had taken out almost 7% of domestic oil production, eased up after some oil sands facilities were able to restart after rainfall. That reduced supply concerns.

On the geopolitical front, tensions remain high. The Russia-Ukraine war is still injecting uncertainty into the energy markets. Meanwhile a senior Iranian official said Tehran will likely reject the new US proposal to revive the nuclear deal, which would delay any increase in Iranian crude exports.

USOIL Key Support at $62.44: What the Charts Say

From a technical perspective, WTI (TVC:USOIL) is right above the key support at $62.44—a horizontal support and the 50-period EMA ($62.43). The pullback from $63.86 looks more like a correction than a reversal, especially since price is still making higher lows since May 31.

But the MACD is mixed. The histogram is red and the MACD line has crossed below the signal line, momentum is fading. If bears take control, $61.64 and $60.92 could be the next targets.

Candlestick pattern is not conviction building—no hammer, no bullish engulfing, and neutral volume.

USOIL Trade Setup: Wait or Act on the Rebound?

For traders, this is a wait-and-see:

• Entry: Buy only on confirmed bullish signal above $62.44

• Target: $63.86 (initial), $64.54 (extended)

• Stop-loss: Below $61.64 to cap downside

If bulls re-enter and defend $62.44, WTI could go back to recent highs. But a clean break below support flips the bias bearish and could lead to deeper retracements. Overall, fundamentals are bullish but charts need to confirm. Watch $62.44.