WTI Crude Oil Outlook: Key Levels Amid Downtrend at $67.74; Brace for Sell

The pivot level of $68.29 serves as a critical point, and breaking above it could prompt short-term recovery efforts. However, unless this level is breached, WTI Crude may remain exposed to further declines, with support levels lined up below.

"The economic weakness that we're seeing in China is playing through to refinery run weakness and ultimately weak demand for refined products."
–Matt Smith, Kpler https://t.co/jnhzjLWJrE#energy #OOTT #oilandgas #WTI #CrudeOil #fintwit #OPEC #Commodities #commoditiesmarket pic.twitter.com/xG23YSlHsA

— Art Berman (@aeberman12) November 12, 2024

Key Support and Resistance Levels for WTI Crude Oil

In technical terms, immediate support is found at $67.51, a key level that could provide temporary stability. If this support fails, additional downside risks emerge, with further support at $66.92 and $66.37. Conversely, the first line of resistance stands at $68.86, followed by $69.28, and then $69.90. These levels could limit any attempts at recovery unless there is strong buying interest or a significant shift in market fundamentals.

• Immediate Support: $67.51

• Next Support: $66.92

• Pivot Point: $68.29

• Immediate Resistance: $68.86

• Next Resistance: $69.90

"Prompt time spreads for Brent and WTI have collapsed recently, moving closer to contango, suggesting a better-supplied physical market."
–INGhttps://t.co/evqtPtQz5t#energy #OOTT #oilandgas #WTI #CrudeOil #fintwit #OPEC #Commodities #commoditiesmarket pic.twitter.com/giS4KLkeF2

— Art Berman (@aeberman12) November 12, 2024

Technical Indicators Point to Continued Bearish Sentiment

Technical indicators support the bearish outlook, particularly the Relative Strength Index (RSI), which is at 27.73—indicating oversold conditions. This level may attract bargain hunters, but the RSI below 30 underscores caution, as the broader momentum remains negative.

Additionally, the 50-Day Exponential Moving Average (50 EMA) trends downward, reinforcing the market’s bearish sentiment. Unless WTI Crude can establish a firm footing above the 50 EMA, it is likely to encounter persistent selling pressure in the near term.

Conclusion: A Bearish Scenario Awaits Further Cues

With WTI Crude Oil grappling with key technical levels and global factors such as OPEC’s outlook and China’s economic measures, traders should remain vigilant. Prices may continue their downward trajectory if immediate support levels break, while resistance levels above present significant obstacles to any upside attempts.

Key Insights:

• WTI Crude remains in a downtrend, with significant support at $67.51.

• RSI below 30 suggests oversold conditions but hints at a weak recovery.

• Bearish momentum is confirmed by the 50 EMA’s downward slope, highlighting sustained selling pressure.

This balanced analysis captures current market dynamics, positioning traders to anticipate potential moves as the market seeks directional clarity.