WTI is trading near new 2022 low, pressured by demand concerns
WTI oil price is consolidating above new 2022 low ($71.74) hit on Wednesday, following sharp four-day fall.
Growing concerns that economic slowdown would further weaken demand and increased production in the US, continue to pressure oil prices, with the latest break of previous low at $73.57 (Nov 28) signaling bearish continuation of the downtrend from a double-top and a lower platform at $93.60/72 (Oct 10 / Nov 7).
Bears cracked support at $72.49 (200MMA), which guards psychological support at $70, with stronger acceleration to threaten of extension towards $64.97 (200WMA).
Oversold daily studies suggest bears may take a breather for consolidation, with under falling 10DMA ($77.06) and broken Fibo 76.4% ($78.48) offering solid resistances which should cap upticks and keep bears intact.
Res: 73.57; 75.40; 77.06; 78.48
Sup: 71.74; 70.00; 67.55; 66.11