WTI Crude Oil Struggles Below $66: Will Optimism Around US-China Talks Spark a Recovery

WTI Crude Oil continues to face heavy selling pressure, trapped below the critical long-term resistance level of $66. Despite a brief uptick, the broader trend remains bearish, with prices consolidating near multi-month lows as market sentiment cautiously improves on the back of fresh geopolitical developments.
The current rebound attempt above $60 comes amid renewed optimism surrounding upcoming US-China trade talks. Markets are responding positively to comments from US Treasury Secretary Scott Bessent, who emphasized a measured approach to easing tariffs—not aiming for a sweeping deal, but rather a reduction in trade tensions. Given that China is the world’s largest oil importer, any signs of a de-escalation could significantly lift global demand forecasts, offering much-needed support to crude prices.
Technical Breakdown: Bearish Bias Dominates
From a technical standpoint, the daily chart reveals a pronounced downtrend:
-
WTI crude recently broke below the long-term support range near $66, which has now flipped into a resistance zone.
-
The 50-day simple moving average (SMA) has crossed below the 200-day SMA, forming a "death cross" pattern—a classic bearish signal.
-
A failed attempt to reclaim the $66 level reinforces bearish momentum, with a potential retest of the $50 zone increasingly likely if recovery efforts stall.
Recent News
USD/JPY shows signs of recovery, stickin...
March 12, 2025
Market Insights
Gold Price Lingers Near One-Month Low as...
November 12, 2024
Market Insights
The Dow Jones is fighting to regain its...
December 24, 2024
Live Charts
Gold extends losing streak to three days...
May 01, 2025
Market Insights
DOW JONES bounce back from daily support
February 20, 2025
Market Insights
GBPUSD gave a breakout of Wedge Pattern
December 16, 2024
Market Insights