WTI crude oil price tests $66.50 resistance as bullish reversal structure gains momentum
WTI crude oil rebounds above $64.92 Fib level with bullish momentum testing $66.50 resistance
WTI crude oil prices are approaching a key resistance zone near $66.50 as technical momentum signals a potential shift toward a medium-term bullish reversal. After rebounding from a base around $61, crude has reclaimed the 0.382 Fibonacci retracement level at $64.92 on the weekly chart.
Key highlights
- WTI crude trades near $66 after rebounding from $61 base and reclaiming $64.92 Fib level
- EMA cluster supports bullish structure with MACD and RSI signaling continued strength
- Breakout from descending wedge pattern targets $67.94 and potentially $70.90
This move marks the first sustained bullish recovery since early April and positions the commodity for a possible retest of higher targets near $67.94 and $70.90. Price action on the daily chart has confirmed a breakout above a multi-week descending trendline, triggering an inverted head-and-shoulders pattern built from the April and May lows.
USOIL price dynamics (Source: TradingView)
This reversal setup gains credibility as long as crude holds above the $64–$64.50 support range. A firm daily close above the $66.50 barrier could mark a shift in trend and open upside toward $70–$72, with volume likely to guide the conviction of this move.
Momentum indicators confirm near-term bullish control
The 4-hour chart reflects a continuation of bullish momentum. WTI crude is riding the upper Bollinger Band, and the EMA structure has flipped supportive, with the 20 EMA at $64.86 and 50 EMA at $63.87 now acting as dynamic support. The 30-minute RSI has moved above 71, signaling strong momentum, though some near-term overbought conditions may emerge. MACD on this timeframe continues to show rising histogram bars, reinforcing the strength of the move.
Technical confirmation of the breakout also comes from a broader descending wedge pattern, which WTI exited earlier this week. Current price action near the $65.80–$66.50 supply zone will determine if the rally has the momentum to continue. A loss of support below $63.70 would challenge this recovery narrative and may reintroduce downside risk.
In prior WTI coverage, we highlighted the importance of reclaiming the $64.92 retracement level as a signal for potential trend reversal. Since then, price has broken above both trendline and resistance clusters, and is now testing a major supply zone. If bulls maintain this structure, targets near $67.94 and $70.90 remain in play.
