Following the lethargic movement of the previous day, WTI shows some tiny increases on Tuesday.
Bulls are up against significant resistance near $73.80.
With stretched purchasing circumstances, the momentum oscillator stays in the overbought zone.
In Tuesday’s Asian trading session, West Texas Crude Oil (WTI) edged upward. Prices are struggling to break through a solid resistance near $73.80 on a closing basis.
WTI is currently selling at $73.77 per barrel, up 0.21 percent on the day.
On the daily chart, crude oil prices fell dramatically the same day after testing a new YTD high on July 6, as bulls failed to maintain the pace.
With a double bottom pattern, WTI found support near $70.30.
WTI might target the 20-day Simple Moving Average (SMA) at $73.08 if it breaks the intraday low.
With bearish momentum, the Moving Average Convergence Divergence (MACD) indicator is trading in the overbought zone. Any MACD downtick could exacerbate the selling pressure.
However, the next drop target for WTI bears could be the $72.50 and $ 71.20 horizontal support levels.
Alternatively, if prices rise, they may retrace back to the previous day’s high of $74.26.
The bulls will then seek to challenge the $74.65 horizontal resistance level, followed by the $75.82 high from July 5./n
