Crude Oil Technical Analysis March 28, 2025
Current Price Levels and Technical Indicators:
As of 8:00 AM GMT on March 28, 2025, West Texas Intermediate (WTI) crude oil is trading at approximately $69.76 per barrel. The Relative Strength Index (RSI) stands at 54.83, indicating neutral market conditions.
The 50-day Simple Moving Average (SMA) is positioned around $68.50, serving as a dynamic support level. The 100-day SMA is near $70.00, acting as immediate resistance. The 200-day SMA is approximately $72.00, providing a longer-term resistance threshold.
Support and Resistance Levels:
Resistance: $70.00 (100-day SMA)
Support: $68.50 (50-day SMA)
Fundamental Factors:
Recent developments influencing crude oil prices include:
Trade Tensions: The U.S. administration’s implementation of a 25% tariff on auto imports has raised concerns about global trade relations, potentially impacting oil demand.
Supply Constraints: New U.S. sanctions targeting countries importing oil from Venezuela, along with restrictions on Iranian oil trade, have tightened global oil supply, contributing to price support.
Inventory Drawdowns: Recent data indicates a significant decline in U.S. crude oil inventories, with a reported draw of 3.3 million barrels, reflecting robust demand.
Conclusion:
Crude oil prices are navigating a complex landscape influenced by geopolitical developments, supply constraints, and trade tensions. Technical indicators suggest a neutral market stance, with prices oscillating around key moving averages. Traders should remain vigilant to evolving news and economic events that could sway market sentiment and price direction.