West Texas Intermediate (WTI), the benchmark for New York-traded crude oil prices, extended its decline on Tuesday and sank below the $100 a barrel and claimed the $97.40-80 designated target.
With a rebound now in the making since the down challenge could see a move to a potential challenge of the $102.30-50 region.
(WTI) fell in early Asian trading after tumbling around -9% over the previous two sessions.
Meanwhile, investors are eyeing April’s Consumer Price Index (CPI) report, which is expected to show that inflation may have peaked, which could temporarily soothe global markets if confirmed.
The U.S. Bureau of Labor Statistics will release the April Consumer Price Index (CPI) data on Wednesday, May 11 at 10:30 pm Sydney time.
Based on the technical assessment, the Relative Strength Index (RSI) 3-daily ‘lookback’ indicator is negative; however, it has developed bullish momentum since rebounding from the $97.40-80 objective.
Meanwhile, the Moving Average Convergence Divergence (MACD) oscillator supports a weak negative signal.
As bullish eyes look to the $102.30-50 area, a clearance from this region would put $104.15-15 in perspective, while the support may, in the short term, hold from $97.40-80.