• WTI has recovered intraday losses and has moved above the psychological resistance of $100.00.
• The RSI (14) has moved into a 40.00-60.00 range, which signals a neutral stance.
• Bulls are firmer above the 20-EMA but seek more validation.

West Texas Intermediate (WTI), futures on NYMEX, has witnessed a firmer bullish reversal after slipping below the psychological support of $100.00. The emergence of responsive buyers drove the asset higher in the Asian session.

On an hourly scale, WTI has overstepped the 20-period Exponential Moving Average (EMA) at $99.96. The asset has also climbed above the supply zone placed in a narrow range of $99.46-99.66, which has triggered a potential bullish reversal. The 50-period EMA at $101.74 is still trending lower and is favoring bears.

Meanwhile, the momentum oscillator, Relative Strength Index (RSI) (14) has strongly moved in the range of 40.00-60.00 from the bearish range of 20.00-40.00. A firmer momentum in range shift signals a solid upside move.

For an optimal buying position, investors should wait for a pullback towards the above-mentioned supply zone. An occurrence of the same will drive the asset higher towards the 50-EMA at $101.74, followed by Tuesday’s high at $103.08.

Alternatively, bears can regain control if the asset drops below Tuesday’s low at $97.14. This will send the asset towards April 25 low at $95.07. A breach of the latter will drag the asset towards April 7 low at $93.62.

WTI hourly chart