West Texas Intermediate (WTI) Crude Oil remained under pressure on Friday, with prices struggling to gain traction as persistent oversupply concerns continue to weigh on market sentiment. At the time of writing, WTI trades near $57.10, holding close to recent lows and on track for a weekly decline of more than 4%.
Supply concerns continue to pressure sentiment
The broader tone in the oil market remains cautious, with investors increasingly focused on evidence that global supply is still outpacing demand. Geopolitical dynamics are also shaping sentiment. Markets continue to monitor optimism surrounding Russia–Ukraine peace talks, with traders viewing any substantive progress as a pathway for additional Russian crude to re-enter global markets.
Technical outlook remains firmly bearish
From a technical standpoint, WTI’s broader setup remains bearish, with prices repeatedly rejected near the $60.00 psychological barrier. The daily chart shows WTI trading well below key moving averages, reinforcing the downside bias and signalling that sellers remain in firm control.
Key support levels in focus
Immediate support lies in the $56.50–$56.00 zone, corresponding to the October swing low. A daily close below this area would confirm renewed bearish momentum and open the door for deeper losses toward the yearly low near $54.80.
Upside attempts capped below $60
On the upside, descending moving averages continue to limit recovery attempts. Any rebound is likely to encounter selling pressure well ahead of the $60.00 handle. Without a sustained break above this level, the near-term outlook remains skewed to the downside.
Momentum indicators favor bears
Momentum signals also point to continued weakness. The Relative Strength Index (RSI) remains below the neutral 50 mark, indicating muted upside momentum. Meanwhile, the Moving Average Convergence Divergence (MACD) has slipped below its signal line and remains in negative territory, with the histogram suggesting strengthening bearish momentum.
