WTI oil closing in on major support
With the US and Iran entering ‘serious’ discussions, this has eased fears of a supply shock and sent the price of WTI Oil lower by around 6.0%. Technically, following an attempt to hold above a 1M resistance level of US$64.82, price has since dipped under the 3M support level of US$62.47, which could now serve as a resistance level.
Lower, there is a 1Y support level near at US$61.22, with a break under here opening the door to a 3M support level coming in at US$59.46, closely followed by a 6M support level at US$58.34, and a 1M support level at US$57.40.
Ultimately, while sentiment remains to the downside for now, there are a number of key support levels near that will likely hinder bearish attempts.
Written by the FP Markets Research Team