$80 Break: Crude Oil WTI Plunges into Bearish Territory
The price of Crude Oil WTI has broken through the $80 level in a sharp selloff, sending shockwaves through the market. According to technical analysis, this marks a significant distribution range breakdown, with extensive damage done to bullish signals. The Relative Strength Index (RSI) is approaching oversold conditions at 35.75, while the price hovers near the lower Bollinger Band ($75.16). A dense cluster of structural support lies at the 61.8% Fibonacci retracement ($74.86), but with the SuperTrend flashing 'down' at $82.61 and MACD momentum accelerating to the downside (-1.60 vs. signal -0.87), bears are firmly in control.
The market is currently in a high-risk zone, making it treacherous for traders to chase a bullish reversal. Strong selling pressure and a recent Marubozu candle at $75.80 indicate persistent momentum, rendering 'mean reversion' bounces unconfirmed without a clear reversal pattern above $75. Traders are advised to exercise caution when entering the market between $78-$80 (former support now resistance) or looking for support at $74.86-$75.