WTI

It’s been a quiet few weeks in the oil markets, with WTI crude prices more or less treading water. Investors seem reluctant to commit either way, pondering whether the recent deluge of bearish headlines has already been priced in.

Crude oil rallies off recent lows, but positioning data and technical resistance suggest upside may be capped. Could WTI be setting up for another leg lower?

WTI crude oil has shown a relatively steady variation of around 3% over the past few trading sessions, without establishing a clear direction, as the price oscillates around the $60 mark in the short term.

Oil prices rallied more than 17.6% off the yearly low with the recovery now approaching key resistance hurdles. A multi-timeframe view of the oil technical charts.

Conflicting signals form the COT futures report make the outlook for oil a bit murkier than I'd like. But over the near term, price action suggests WTI crude oil could be facing another attempt at breaking below $60.

After falling to the $65 per barrel zone, WTI has posted a recovery of over 6% over the past two weeks of trading. For now, the bias remains neutral, as the market stays focused on the potential outcomes of U.S. trade tariffs.

Oil prices have risen to test 3-week highs, with prices finding support by expectations of tightening supplies in the short term outlook, putting concerns about demand on a back burner.

After falling to the $65 per barrel zone, WTI has rebounded by more than 4% over the last five trading sessions.

I've watched net-long exposure to crude oil decline alongside prices in recent weeks. But with managed funds culling shorts at their fastest pace in a year and volumes now rising alongside prices, perhaps yesterday's bounce on WTI has more to give.

The price of WTI crude has dropped more than 6% over the past four trading sessions, settling around $67 per barrel, a level not seen since early December 2024.

The cancelation of Chevron's Venezuela license sparked a 2% rally for crude oil. Futures positioning hints at short-covering, leaving the question as to if bulls will return to support a true rally.