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WTI steadies near $89 as Middle East shipping risks cap losses
WTI is up about 9% on the week and is retesting the 100-day SMA around $88.30 after a 6% jump the prior session.
WTI eased on Friday after a 6% gain the previous day, as traders locked in profits, according to FXStreet. Still, a widening Middle East conflict is limiting the downside by intensifying supply risks around two key energy-shipping routes, the Strait of Hormuz and Bab el-Mandeb.
At the time of writing, WTI was trading around $89 per barrel, up roughly 9% for the week. The report said the outlook remains firmly bullish from a technical standpoint, with WTI having reclaimed its 50-day, 100-day, and 200-day simple moving averages.
FXStreet noted that the 100-day SMA near $88.30 is acting as immediate support, while price faces resistance at $92.25, followed by $95.00. The article also pointed to momentum indicators staying constructive, with RSI near 65, MACD in positive territory, and ADX in the low 30s suggesting a strengthening trend.
On the upside, the report said a sustained break above the $95 area could bring a move toward the $100 psychological level, with a war-driven peak near $113 as a next reference point. Downside support is seen at the 100-day SMA around $88.31, then the 50-day SMA near $82.16 and the 200-day SMA around $74.55.
Latest closeWTI crude $82.68 ▼0.6%