03.06.2020 WTI Daily Analysis

03.06.2020 WTI Daily Analysis

WTI gained over 0.2% while taking the bid near $37.77 during the early hours of the day. In doing so, the black gold crosses the March 11 top $36.64 while refreshing the three-month high. In addition, the energy benchmark stays positive above 100-day SMA and 50% Fibonacci retracement level of January-April amid bullish MACD Against this backdrop, the oil prices are rising towards filling the gap between March 06 low of $41.22 and March 11 top of $36.64 However, overbought RSI condition raise doubts on the quote’s further upside and hence pullback below $36.40, comprising 100-day SMA, could drag it to a short-term line, at $35.00 now In a case where the WTI drops below 35.00, April month high of $32.20 could lure the sellers. According to the Energy Intelligence estimates, OPEC and its allies (OPEC) achieved an 86% May compliance rate with the oil output cuts of 9.7 million barrels per day that it agreed for both May and June.