WTI Price Forecast: Tests 50-day EMA barrier after breaking above $63.50

• WTI price tests the immediate resistance at the 50-day EMA of $63.67.
• The 14-day Relative Strength Index sits above 50, signaling an active bullish bias.
• The initial support appears at the nine-day EMA of $63.14.

West Texas Intermediate (WTI) Oil price extends its gains for the second successive session, trading around $63.60 per barrel during the European hours on Wednesday. The technical analysis of the daily chart suggests that the Oil price remains within a rectangular pattern, indicating a consolidation phase.

The 14-day Relative Strength Index (RSI) is positioned slightly above the 50 level, suggesting a bullish trend is active. Additionally, the WTI price has moved above the nine-day Exponential Moving Average (EMA), indicating that short-term price momentum is stronger.

The WTI price is testing its immediate resistance at the 50-day EMA of $63.67, followed by the upper boundary of the rectangle around $65.70. A break above the rectangle would give rise to bullish bias and support the crude price to explore the region around the five-month high of $70.02, which was reached on July 30.

On the downside, the WTI price would find its primary support at the nine-day EMA of $63.14. A break below this level would weaken the short-term price momentum and prompt the crude Oil price to approach the rectangle's lower boundary around the $61.60, followed by the three-month low of $61.20, recorded on September 5.

WTI: Daily Chart