Low from 2016 was at $26.16
The price of WTI crude oil futures settle that $31.13 per barrel. That was down $10.15 were -24.59%. The high for the day reached $34.88. The low extended to $27.34. The catalyst?
Russia and Saudi Arabia could not agree on production cuts at last week’s OPEC+ meeting. Saudi Arabia said “OK, I will cut my price by $6-$8 to Asian, US, European customers and increase my production as well”.
The one hope for the longs/buyers is that the low for the day at $27.34 was able to stay above the January and February low prices from 2016 near the $26.05 a barrel area.
Stay above that low level, and there is still hope. Move below and there is no hope (or there certainly is potential for a further probe to the downside).
The current price is trading at $31.17.
Drilling down to the hourly chart, the correction off of the low price did stall ahead of its 38.2% retracement of the move down from last week’s high to low today. That level comes in at $35.48. The high price reached $34.88. If the price is going to move higher that would be one of the closest targets to get and stay above.