WTI crude oil prices are facing downward pressure as the commodity trades below the 23.6% Fibonacci retracement level of $88.04 and the 200-hour SMA at $89.18. While geopolitical tensions and warnings from President Trump provide some support, increased OPEC+ production from Saudi Arabia and Iraq continues to cap upside potential.
Bearish
🤖 50%
WTI trades below the 23.6% Fibonacci level at $88.04 and the 200-hour SMA near $89.18, with the RSI at 60.75 and a flattening MACD reinforcing a bearish near-term bias. Higher OPEC+ output and reduced escalation risks cap prices, though fresh Trump warnings to Iran and the Strait of Hormuz standoff keep geopolitical support in play, limiting follow-through on the downside.
Catalysts
- ▼ Price stalling under 23.6% Fibo. resistance at $88.04 and 200-hour SMA at $89.18
- ▼ Higher OPEC+ output from Saudi Arabia and Iraq capping crude prices
Risk Factors
- ▲ Trump's fresh warning to Iran revives the geopolitical risk premium
- ▲ Iran's top negotiator says the Strait of Hormuz will never return to its pre-war status