Incorporating advanced data from CME Group for crude oil futures markets, open interest extended the uptrend, rising about 17.8k contracts on Tuesday. Instead, volume reversed two consecutive daily builds and shrank by around 669.6k contracts.
WTI: Solid resistance comes in at the 200-day SMA
Prices for the barrel STI maintained bid bias on Tuesday, adding to the ongoing rally amid rising open interest. The latter supports the view that the commodity could resume the uptrend in a very short period of time, although the sharp decline in volume and the proximity of the overbought area (according to the daily RSI) could prompt some fresh selling. In the meantime, there is a firm hurdle at the 200-day SMA around $83.80, a range that coincides with the December 2022 highs.
Comments are closed.