Crude Oil Technical Analysis April 2, 2025
Current Price Levels and Technical Indicators:
As of 8:00 AM GMT on April 2, 2025, West Texas Intermediate (WTI) crude oil is trading at approximately $71.07 per barrel.
Relative Strength Index (RSI): The RSI is currently in neutral territory, indicating a balance between buying and selling pressures.
Moving Averages:
20-period Simple Moving Average (SMA): The price is trading near the 20-period SMA, suggesting a consolidation phase.
50-period SMA: The price remains above the 50-period SMA, reinforcing the prevailing bullish trend.
Support and Resistance Levels:
Support:
$70.00: A psychological level where buying interest may emerge.
$69.50: An additional support level observed in recent trading sessions.
Resistance:
$71.50: Immediate resistance that, if breached, could signal further bullish momentum.
$72.00: A key resistance level to monitor for potential price reactions.
Fundamental Factors:
Upcoming U.S. Tariff Announcement: President Donald Trump is scheduled to announce new tariffs at 8:00 PM GMT today. While details are scarce, these measures are anticipated to impact global trade dynamics, potentially affecting oil demand and prices.
OPEC+ Production Adjustments: OPEC+ has announced plans to gradually unwind voluntary production cuts starting April 1, 2025, aiming to restore 2.2 million barrels per day of output by September 2026. This increase in supply could influence oil prices, depending on market demand.
Market Sentiment: The market remains cautious amid geopolitical tensions and potential economic repercussions from new U.S. tariffs. Investors are closely monitoring these developments, which could lead to increased volatility in oil prices.
Conclusion:
Crude oil is currently trading around $71.07 per barrel, with key support at $70.00 and resistance at $71.50. Traders should remain vigilant of the upcoming U.S. tariff announcement and OPEC+’s production adjustments, as these factors are likely to influence oil prices in the short term.