Commodities Watchlist: WTI Crude Oil Reversal In The Making?

U.S. crude oil prices look ready for a strong November!

Who else is looking at this reversal in the making?

I’m checking out this support zone on the 4-hour time frame:

WTI Crude Oil: 4-hour

US Crude Oil (WTI) 4-hour Chart

U.S. crude oil (WTI) prices are gaining ground after capping October near $85.00.

As you can see, $85.00 lines up with a trend line support that’s been around since late September.

More importantly, $85.00 is near the 200 SMA that’s now trading below the 100 SMA after a crossover in mid-October.

Are we looking at a bullish reversal in the making?

Oil bulls are pricing in the OPEC+ group starting their new output cuts this month.

On the other hand, COVID concerns in China and interest rate hikes and global growth worries are limiting further price increases for the Black Crack.

Keep an eye on the $89.00 October resistance.

A clear breakout above the level might accelerate WTI’s upswing and take prices to the $93.00 previous resistance or even the $100.00 area of interest.

If growth concerns weigh crude oil demand, however, then WTI could revisit the 4-hour chart’s 200 SMA. It may even break below the trend line support if there’s enough bearish momentum!

What do you think? Which way will WTI go?