WTI's American session rally stalls around $76.00 amid an upbeat market mood

• Western Texas Intermediate advances dome 2.66% during the New York session, exacerbated by thin trading liquidity conditions.
• The market sentiment is upbeat despite the Omicron variant worldwide outbreak.
• WTI Price Forecast: Tilted to the upside, though a break above the 50-DMA would open the path towards $79.00.

Western Texas Intermediate, also known as WTI, US crude oil benchmark, surged during the New York session, trading at $75.74 at the time of writing. A risk-on market mood keeps US equities and the black-gold advancing, despite the spread of the newly discovered Covid-19 variant called Omicron, which spurred the cancellation of flights on the Christmas weekend due to staff quarantine and shortages. 

In the overnight session, WTI remained subdued around the $72.55-$73.50 range. However, in the last couple of hours, a spike of $2.5 is mainly attributed to thin liquidity trading conditions, which usually exacerbate any moves in the financial markets.

WTI Price Forecast: Technical outlook

The WTI daily chart depicts the black-gold has an upward bias. Through the day, oil pierced the 100-day moving average (DMA), leaving exposed the 50-DMA at $76.69. Nevertheless, the upward move was capped around the $76.00 figure, retreating some $0.25 to the current price.

To the upside, the first resistance would be the $76.00 threshold. A breach of the latter would expose the 50-DMA at $76.69, followed by the November 24 cycle high at $79.19.

On the other hand, the first support would be the $75.00 psychological level. A decisive break of that level would expose the 100-DMA at $74.18, followed by $74.00.