Key Points:
- CL-OIL (Crude Oil WTI) drops to a 4-week low of 64.79 USD/Bbl.
- Over the last 12 months, WTI has decreased 24.25%.
- OPEC+ agrees to advance their plan to phase out oil output cuts by increasing output by 411,000 barrels per day in May.
Crude Oil Prices Decline Amid Market Pressures and
CL-OIL (Crude Oil WTI) reached a four-week low of 64.79 USD per barrel, reflecting ongoing pressures in global markets. The decrease of 2.81% in the last 24 hours is compounded by a significant 24.25% drop over the last 12 months.
OPEC+ Adjustments in Focus
This decline is largely attributed to global factors such as a shift in OPEC+ policies, as the oil-producing alliance agreed to increase output by 411,000 barrels per day in May.
This decision to phase out the previously agreed-upon output cuts is aimed at addressing global supply-demand imbalances, adding downward pressure to oil prices.
Technical Outlook
Picture: CL-OIL tests support at $64.79 after sharp declines from $71.30, as seen on the VT Markets app.
CL-OIL declined by 2.81%, closing at $64.76 after opening at $66.63. The session saw a sharp drop, reaching a low of $64.61 before slightly retracing to close near $64.76.
The moving averages (MA 5,10,30) suggest bearish momentum, with the short-term moving averages below the longer-term ones. This indicates a continued downtrend, and the distance between them is widening. The MACD (12,26,9) also confirms the bearish sentiment, with the histogram showing a greater negative momentum and the MACD line (blue) consistently below the signal line (yellow).
Key levels to monitor include $64.79 as immediate support and $71.30 as resistance. A break below support could suggest further downside momentum, while a rally above resistance may signal a reversal or consolidation in the market.
With CL-OIL showing persistent downward pressure and breaking key levels, a continued drop below $64.79 could lead to more significant declines. However, a move above $71.30 would likely change the trend, indicating potential for a reversal or upward movement in the near term.
