WTI Price Analysis: Eyes to revisit fortnight-old support near $88.00

• WTI remains pressured after declining heavily in the last two days.
• Nearly oversold RSI might trigger another bounce off a two-week-long support.
• Multiple hurdles stand tall to challenge oil bears before the monthly low.
• Buyers need validation from the key SMAs, MACD also portrays rejection of bullish bias.

WTI crude oil prices hold lower ground near $88.90 during Thursday’s Asian session, after dropping heavily in the last two days.

The black gold’s latest weakness could be linked to the sustained trading below the key SMAs, as well as bearish MACD signals. However, nearly oversold RSI (14) challenges the commodity’s further downside.

That said, an upward sloping support line from mid-August, around $88.00 by the press time, appears a short-term important level to watch for the WTI bears.

Following that, a horizontal area comprising multiple levels marked since early August, near $86.20-40, could test the downside momentum before highlighting the lowest levels since late January, marked on August 15 at around $85.40.

Alternatively, the 100-SMA and the 200-SMA could restrict short-term recovery moves of the WTI crude oil around $91.20 and $92.80 in that order.

However, the monthly horizontal resistance area and tops marked on Tuesday, respectively around $95.70 and $97.30, could challenge the upside momentum afterward.

Overall, WTI crude oil prices are weak but the downside room appears limited.

WTI: Four-hour chart

Trend: Limited downside expected