WTI: technical analysis and trading recommendations_10/14/2021
Against the backdrop of strong fundamental factors, the oil price remains inclined to further growth. The price hit a new 36-month high earlier this week, reaching $ 81.27 a barrel, and its strong upward momentum remains.
In case of a breakdown of the local resistance level 81.27, the price will move towards new multi-year highs.
In an alternative scenario, the breakdown of the short-term important support level 78.55 (ЕМА200 on the 1-hour chart) will be a signal to open short positions with targets near the support levels 75.75, 74.40 (ЕМА200 on the 4-hour chart), 73.20 (ЕМА50 on the daily chart). Above these support levels, preference should be given to long positions.
However, their breakdown will provoke a deeper decline towards the key support level 65.30 (ЕМА200 on the daily chart).
Break of the support level 55.70 (ЕМА200 on the weekly chart) will bring WTI oil back to the bear market.
Support levels: 78.55, 75.75, 74.40, 73.20, 72.20, 68.00, 65.30, 61.80, 55.70
Resistance Levels: 81.27
Sell Stop 78.50. Stop-Loss 81.35. Take-Profit 77.00, 75.75, 74.40, 73.20, 72.20, 68.00, 65.30, 61.80, 55.70
Buy Stop 81.35. Stop-Loss 78.50. Take-Profit 82.00, 83.00, 84.00, 85.00