The price of WTI crude oil stands at $69.92, reflecting an increase of $0.27 or 0.39%. The day’s high reached $69.97, while the low was $69.12.
In terms of the daily chart, the 100-day moving average is at $70.66, representing a key target above. A further level of interest is the 38.2% retracement at $71.16, with the 200-day moving average at $72.81.
Technical Support And Moving Averages
On the downside, the 100-hour moving average has provided support today, currently at $69.12. If the price dips below this average, it may prompt selling activity, while the 200-hour moving average is at $68.28.
What this section tells us is fairly straightforward: oil prices have edged up slightly, though they remain compressed in a tight range. The intraday move saw WTI nearly touching $70, but broader resistance capped it just shy. We’re currently trading just below both the 100-day moving average and the retracement level at $71.16—two hurdles that have acted as barriers in recent sessions. If momentum fails to gather pace soon, these levels are likely to continue holding things in check. Meanwhile, dips appear to be absorbed near the 100-hour average at $69.12, which is holding up so far.
Now, we’ve got a situation forming where inactivity may not persist for long. The Bollinger bands have narrowed, which often sets the stage for a pronounced shift, and volume has been drying up around the current level—another sign that compression could give way to volatility.
Market Sentiment And External Factors
Powell’s comments earlier this week added to growing expectations that the path of interest rates might remain unchanged longer than previously thought. Higher-for-longer rates do tend to weigh on crude demand projections via a stronger dollar and tighter financial conditions. Conversely, geopolitical risks haven’t gone away completely, which limits how far downside pressure can extend—at least for now.
With prices pressing against technical zones above and showing hesitation to break lower, it’s a moment where we’re keeping a close eye not just on trendlines but also on the depth of pullbacks. One-two dollar ranges have been common lately, with liquidity clustering near those moving averages—traders have been using them as points for mean reversion.
Volatility pricing in the options market has also pulled back lately, but that doesn’t imply complacency. The bulk of short-dated positions are clustered around the $68 to $72 range, suggesting most are still awaiting confirmation before extending commitments. As premium decays quickly in tighter bands, the demand for gamma could be fluid—especially if the $71 handle starts to get tested again mid-week.
Price action hasn’t shown conviction either way. Our approach has been more about watching the response to failed breaks than initiating on strength alone. The fact that both hourly and daily averages are now compressed within a $3 window adds weight to this. For now, price is hovering around the midpoint of that window, and any decisive shift above or below would naturally invite directional short-term moves—likely fuelled by algorithmic flows responding to moving average breaches.
Yet, care still needs to be taken before counter-positioning. Weekend headlines could easily shift sentiment—so lingering positions beyond Friday may come with added exposure risk. The signals are clear for now: as long as those technical guides remain intact, we continue to lean on pullbacks and remain selective in choosing extension levels to engage.
