Crude Oil Price Update – Rangebound Between 50% Levels at $62.15 and $58.29

U.S. West Texas Intermediate crude oil futures closed lower last week, pressured by a stronger U.S. Dollar, which made dollar-denominated crude more expensive for foreign buyers, and concerns over rising U.S. production. Late in the week, the market was able to recover some of its earlier losses after the dollar weakened in reaction to surprise tariff announcements by President Trump.

April WTI crude oil futures settled the week at $61.25, down $2.30 or -3.62%.

Weekly Technical Analysis

The main trend is up according to the weekly swing chart. However, momentum has been drifting sideways-to-lower since the week-ending January 26.

A trade through $66.39 will signal a resumption of the uptrend. A move through $57.90 will indicate the selling is getting stronger.

The short-term range is $66.39 to $57.90. Its retracement zone at $62.15 to $63.15 has been acting like resistance.

The intermediate range is $50.19 to $66.39. Its retracement zone at $58.29 to $56.38 is the first support. This zone provided support the week-ending February 9.

The main range is $47.41 to $66.39. Its retracement zone comes in at $56.90 to $54.66. This zone is the primary downside target.

The combination of the intermediate and main ranges creates a support cluster at $56.90 to $56.38. Since the main trend is up, buyers are likely to come in on a test of this area.

Weekly Technical Forecast

Based on last week’s close at $61.25, the direction of the April WTI crude oil market this week is likely to be determined by trader reaction to the uptrending Gann angle at $60.69.

A sustained move over $60.69 will signal the presence of buyers. This could trigger a rally into $62.15 to $63.15. A failure to overcome this area will set up a secondary lower top. Overtaking $63.15 could trigger an acceleration into $66.39.

A sustained move under $60.69 will indicate the presence of sellers. This could trigger an acceleration to the downside with potential targets lined up at $58.29, $56.90 and $56.38. The next major uptrending Gann angle comes in at $55.44.