The price of Chicago WTI crude oil futures is down 0.11% at $118.80 per barrel on mid-Wednesday trades.
Oil prices declined on Wednesday as the market balance fears of tight supply with concerns over fuel demand and global economic growth, ahead of an expected big hike in interest rates by the U.S. Federal Reserve.
According to the International Energy Agency, higher oil prices and weakening economic forecasts are dimming futures demand prospect of oil.
The Organization of the Petroleum Exporting Countries and its allies, known as OPEC+, are struggling to reach their monthly crude production quotas, recently hit by a political crisis that has reduced Libya’s output.
On the technical side, the RSI of Chicago WTI crude oil futures stood at 59.98 and is currently trading below MA (5) but above MA (20) and MA (100). So, SELL position can be taken with the following target and stop-loss:
TRADE SIGNAL: CHICAGO WTI CRUDE OIL FUTURES – SELL: 115.70, TARGET: 109.40, AND STOP-LOSS: 119.6