The price of the WTI Crude Oil has continued to trade in a sideways movement this week to bring some stability to the market following last week’s high volatility. The light crude oil now appears to be pegged within a tight range of $57.75 and $58.60, which has limited both upwards and downward movements this week.

Oil prices plunged momentarily yesterday following the latest EIA report abut have since recovered modestly to remain within the tight range.

WTI Crude Oil Fundamentals Overview

The price of the WTI Crude Oil is trading at the back of one of the largest IPO’s in the history of the stock market. Since the Saudi Aramco IPO launched, news has circulated claiming that one of the company’s tankers could be bombed by Iran amid an ongoing gulf oil tensions. Russia has also failed to confirm its expected participation in OPEC increasing uncertainty.

The US-China trade wars also continue to put the global markets in high alert amid a lack of progress and following Trump’s decision to sign a document supporting Hong Kong protests, things could get dicier in the coming weeks.

Earlier in the week (Tuesday), the US API Crude Oil Stocks decreased to 3.639M barrels down from 5.954M in the previous period while in the following day, the EIA Crude oil stocks change report missed the expectation of -0.418M with 1.572M barrels, which was also a significant increase from 1.379M barrels in the previous week.

WTI Crude Oil Technical Analysis (the 60-min Chart)

Technically, the price of the WTI Crude Oil appears to be trading within an ascending wedge. And as demonstrated using Andrews’ pitchfork, it is currently pinned centrally, just below the median line. Both the 100-hour and the 200-hour SMA lines also appear to be providing key support for the oil price in the short-term.

Therefore, the bulls will be targeting short-term profits at around $58.60 or higher at $59.00 while the bears will hope for a major pullback towards $57.75 or lower at $57.27 going into Friday.

WTI Crude Oil Technical Analysis (the Daily Chart)

In the daily chart, the price of light crude oil appears to be experiencing significant bearish pressure in consolidative pattern formation. The oil price is enjoying strong support at around $51.35 gut this could be breached is the price falls below the median line of the Pitchfan as shown in the daily chart.

Therefore, the bears will be targeting long-term profits at around $55.74, $53.79 or lower at $51.35 while the bulls will hope for a continued recovery towards $60.71, $63.48 or higher at $66.45.