WTI crude futures settle at $89.63

WTI crude futures are priced at $89.63. This represents a decrease of $0.03 or -0.03%.

Technically, looking at the hourly chart above, the price settlement is just above its 200 hour moving average at $89.57 and below its 100 hour moving average at $90.30. This places the price in a neutral zone. Buyers and sellers are fighting between the moving average levels. It would take a move outside of the moving averages to tilt the bias further toward buyers or sellers in the short term.

It is worth noting, however, that today’s low price stopped off the top of a swing zone between $88.08 and $88.39. The inability to go below this level (see the yellow zone and read the number circles) gives buyers an additional tilt advantage. Sellers had their chance after the strong rally. However, they were only able to reach the resistance/support of the previous swing zone (at the yellow zone).

Nonetheless, if the 200 hour moving average can be breached at $89.57, there could be further downward momentum with the 38.2% retracement of the rise from the April 23 low at 86, $77. If price cannot drop below the 38.2% retracement, sellers will not win in the long term. This level will be a key level if the price starts to move back lower.